The Rise of the Angels Softens the Fall of Venture Capital

October 12, 2011

The bright outlook for venture capital funds this year has narrowed to a distant light that may just turn out to be an oncoming train. Following forecasts for improved conditions over the previous year, the venture capital industry has experienced a cascade of circumstances which could make this year one of its worst in years. […]

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Venture-Backed IPO Dearth Helped by M&A Activity

October 6, 2011

The high expectations for a strong IPO year have been gradually ratcheted down over the course of the year as market conditions have deteriorated.  With the latest report on completed public offerings released by the National Venture Capital Association (NVCA), any hope of even a moderate IPO year is probably dashed all together.  Although not […]

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Medical Innovation: Are Venture Capital Firms Killing it?

September 27, 2011

With the venture capital market cooling this year, the cash that is available continues to line up behind some of the more high profile Web-based companies, which could spell disaster for technology development in our once high-flying biotech and medical fields.  Medical and biotech companies rely heavily on venture capital funding, but the flow of […]

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Venture Investment Wave hits IPO Wall

September 23, 2011

This year has seen much more than the normal tumult in the markets and the impact on venture investment has raised the prospect of yet another period of under-performance in the venture capital industry.  Despite venture capital investment in the U.S. attaining a three-year high through the second quarter, the increasing market volatility and steep […]

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Is the DOE the Kiss of Death for Clean Tech Venture Capitalists?

September 14, 2011

With the recent bankruptcy filing of Solyndra, venture capitalists and limited partners must be asking themselves whether any involvement by the Department of Energy (or any government agency for that matter) in funding a venture amounts to a “kiss of death”.  There are many facets to the Solyndra story which have yet to unfurl into […]

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Is the Venture Capital Surge in Social Media the Next Big Bubble?

August 31, 2011

The one bright light shining on the venture capital industry this year may turn out to be an oncoming train. The surge in venture capital funds directed at social media has many industry observers concerned that we are looking at the next big bubble, and many are comparing the ballooning valuations of social networking IPOs […]

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Will Improving Venture Capital Returns Magnify Carried Interest Debate?

August 24, 2011

As reported by VCAOnline, Cambridge Associates, LLC, for the quarter ending March 31, venture capital funds continue to rebound with eight quarter string of positive gains. Although their returns still lag those of private equity funds for the most recent five and 10-year periods, their recent quarterly gains have grown by a wider margin.  While […]

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Venture Capital Pay-to-Play Provision – Winners and Losers

August 17, 2011

Once considered to be a fairly standard provision included in a venture capital term sheet, “pay-to-play” has become a point of contention for some investors who may not view a particular deal through the same long term lens as their investor partners.  As the size and scope of deals expand, requiring the formation of syndicates […]

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Carried Interest Tax Change to Hurt Venture Capital the Most

August 12, 2011

Recently, equities analyst Avik Roy held a discussion in National Review Online in which he considered the problem with taxing carried interest as ordinary income. His premise argument was that it constitutes discrimination against certain forms of long-term investing. Considering that the purpose of the capital gains tax was to encourage investment in business and […]

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The Quiet Rise of Life Science Venture Capital Deals

August 11, 2011

Anytime there is a pause in venture capital activity, as there has been this year, one would have to surmise that investors are spending their time evaluating their options and analyzing their returns.  With technology and Web companies dominating the IPO landscape recently, investors are undoubtedly narrowing their focus on sizzling social media or software […]

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