What Drives Micro-Angel Investments?

Maula, Markku; Autio, Erkko; Arenius, Pía

doi:10.1007/s11187-004-2278-4

Cited by 115 publications

(112 citation statements)

References 43 publications

Supporting

Mentioning

Contrasting

Unclassified

Order By: Relevance

“…Although entrepreneurship has a long tradition of investigating the decision making of venture capitalists (Fried & Hisrich, 1994;Shepherd, 1999;Zacharakis & Shepherd, 2001) and to a lesser extent the decision making of business angels (Maula, Autio, & Arenius, 2005;Maxwell, Jeffrey, & Leveque, 2011), recent research on funding entrepreneurial endeavors has begun to focus on crowdfunding (e.g., Belleflamme, Lambert, & Schwienbacher, 2014;Mollick, 2014). According to Mollick (2014, p. 1), "crowdfunding allows founders of for-profit, artistic, and cultural ventures to fund their efforts by drawing on relatively small contributions from a relatively large number of individuals using the internet, without standard financial intermediaries."…”

Section: Decisions On Funding Entrepreneurial Actionsmentioning

confidence: 99%

Researching Entrepreneurial Decision Making

Shepherd

Patzelt

2017

Trailblazing in Entrepreneurship

View full text Add to dashboard Cite

Section: Decisions On Funding Entrepreneurial Actionsmentioning

confidence: 99%

Researching Entrepreneurial Decision Making

Shepherd

Patzelt

2017

Trailblazing in Entrepreneurship

View full text Add to dashboard Cite

“…Based on an analysis of Global Entrepreneurship Monitor (GEM) data, which covers more than business angel investing as defined here, 8 Cowling et al (2003) conclude that this is indeed the case: the apparent male-female disparity in investment activity they identify is attributable to differences in other characteristics rather than to gender per se. What is not clear, however, is the extent to which this finding applies equally to both "pure" angel investing and to investment in family and friends (see also Maula et al, 2005).…”

Section: Findings Personal and Employment Backgroundmentioning

confidence: 99%

Does Gender Matter? Women Business Angels and the Supply of Entrepreneurial Finance

Harrison

Mason

2007

Entrepreneurship Theory and Practice

256

168

View full text Add to dashboard Cite

There is a substantial literature on the relationship between gender and access to finance. However, most studies have been concerned with access to debt finance. More recently, the focus of this research has broadened to examine women and venture capital. This article extends the focus further by examining the role of women in the business angel market, which is more important than the formal venture capital market in terms of both the number of ventures supported and total capital flows. Based on a detailed analysis of business angels in the U.K., the study concludes that women investors who are active in the market differ from their male counterparts in only limited respects. Future research into women business angels, and the possible existence of gender differences, needs to be based on more fully elaborated standpoint epistemologies that focus on the experience of the woman angel investor per se, and center on the examination of the role of homophily, social capital, networking, and competition in investment behavior. IntroductionThe role of gender in access to business finance has been the subject of extensive research, debate, and policy concern in recent years as part of a wider interest in issues of women's entrepreneurship and business ownership (Ahl, 2004;Carter, Anderson, & Shaw, 2003;Duchenaut, 1997;. Reflecting the nature of the funding environment and the characteristics of the ventures established by women entrepreneurs, much of the debate on gender and finance has been concerned with access to loan finance and with the role of the banks in creating or perpetuating gender-based differences in access to finance (Buttner & Rosen, 1988Carter & Rosa, 1998;Coleman, 2000;Fay & Williams, 1993;McKechnie, Ennew, & Read, 1998;Read, 1998;Riding & Swift, 1990; Verhuel & Thurik, 2001). Despite the volume of research, there is no unequivocal support for the idea that there are genderbased differences in access to finance: While several studies "report discrimination . . . it seems to be related to structural factors rather than gender per se" (Ahl, 2004, p. 99). From a policy perspective, two fundamental questions remain unanswered in unequivocal terms: Is there a real shortage of capital for women entrepreneurs (the funding gap), and to what Please send correspondence to: Richard T. Harrison at r.harrison@qub.ac.uk. 2007 extent are the constraints faced by women entrepreneurs due to the "general business environment, a lack of information, firm characteristics, gender-based discrimination or other factors?" (Koreen, 2000, p. 4). P T E &1042-2587 © 2007 by Baylor University 445 May,More recently, attention has shifted to the examination of a number of gender-related features of the venture capital market Greene, Brush, Hart, & Saparito, 1999). Based on an assessment of the empirical evidence, on the demand-side, only a very small proportion of women-owned businesses raise venture capital. On the supply-side, there very few women involved in making investments, either as venture capital fund managers or as ...

show abstract

“…businesses often demand large infusions of outside investment (Duxbury, Haines, & Riding, 1996;Mason, 2009;Maula, Autio, & Arenius, 2005;Szerb et al, 2007). Because access to such external financing offers great challenges, new businesses face an important ''equity gap'' (Lockett, Murray, & Wright, 2002).…”

mentioning

confidence: 99%

“…For example, new businesses typically lack reliable performance data or collateral, so they cannot secure financing from banks and other sources of intermediated finance (Berger & Udell, 1998). Accordingly, access to the funds provided by micro-angels offer an important alternative (Berger & Udell, 1998;Maula et al, 2005;Szerb et al, 2007). The willingness of micro-angels to invest personal funds in others' new business endeavors also can be critical for stimulating a country's entrepreneurial base (Bygrave, 2007), and such interest varies from country to country (Bygrave et al, 2003).…”

mentioning

confidence: 99%