The paper offers a new explanation for the widely observed use of redeemable and convertible preferred stock in venture capital finance. Redeemable and convertible preferred stocks can be used to endogenously allocate cash flow and control rights as a function of the state of nature, the...

Die vorliegende Arbei behandelt auf der Basis gängiger Annahmen in der Literatur zur Wagniskapitalfinanzierung ein neoklassisches Modell der Preisbildung. Im Gegensatz zu den bestehenden vertragstheoretisch motivierten Modellen werden variierende Wettbewerbsverhältnisseberücksichtigt.

Die vorliegende Ausarbeitung hat die systematische Aufarbeitung von Techniken der risikobasierten Kapitalallokation zum Ziel. Bevor jedoch diese Techniken im Detail behandelt werden, ist es notwendig, eine Erläuterung der dabei zugrunde liegenden Kapitalkonzeption vorzunehmen sowie auf die auf...

Can Japan mobilise enough venture capital to finance its promising venture firms and to support its advance into high-tech? The authors use institutional economics, and the principal-agent as well as the transaction cost approach in particular to answer this question. Firstly, a number of...

This paper considers the effects of strategic substitutabilities on performanceand incentives in venture capital financing. The analysis points to a subtlelink between two pivotal roles of venture capitalists: (i) monitoring venturesand setting performance incentives...

This paper investigates four common features (covenants) of venture capital investment contracts from a real option perspective, using both analytical solutions and numerical analysis to draw inferences for a better understanding of contract features.

This paper shows the advantages of staged investments for venture capitalists.

Based on responses from 20 corporate venture capital organizations (CVCs) in Germany, this paper examine the goals, degree of autonomy, fund structure, and main investment criteria underlying the venture strategies of CVCs in Germany today as well as how the CVCs have performed strategically and...

We analyze the choice between public and private equity financing of a unique, hand-collected sample of privately held firms that have indicated their willingness to raise outside equity.(...)

Many financial markets are characterized by strong relationships and networks, rather than arm's-length, spot-market transactions. We examine the performance consequences of this organizational choice in the context of relationships established when VCs syndicate portfolio company investments,...