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Outside Equity Capital: Before and After the Internet
Journal of Internet Banking and Commerce
  • Richard B. Carter, Iowa State University
  • Howard E. Van Auken, Iowa State University
  • Troy J. Strader, Iowa State University
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During the 1980s, the US economy began a transition from being industrial/manufacturing based to an entrepreneurial/innovation-driven economy. Currently entrepreneurial firms comprise more than 95% of all firms in the US and over 1 million new small firms are being created each year. They are generating over 85% of new jobs and are responsible for more than one-half of all innovations in the market. This impressive contribution to the US economy is not uniformly spread among the small business sector, but limited primarily to the most rapidly growing entrepreneurial firms -- often referred to as gazelles. The gazelles' appetite for resources, especially financial resources, is enormous (Timmons, 1999). Equity capital for these rapidly growing firms primarily comes from three complementary sources, directly related to the developmental stage of the firm: angel capital, venture capital, and initial public offerings (IPOs).

This article is from Journal of Internet Banking and Commerce 5 (2000): 1.

This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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Van Auken et al
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Richard B. Carter, Howard E. Van Auken and Troy J. Strader. "Outside Equity Capital: Before and After the Internet" Journal of Internet Banking and Commerce Vol. 5 Iss. 1 (2000) p. 1 - 4
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