Until the Fog of Uncertainty Lifts – Disruptive Founding Visions and New Venture Funding Success

2021 ◽  
Vol 2021 (1) ◽  
pp. 11313
Author(s):  
Anne Dreller
Author(s):  
John Watson ◽  
Michael Stuetzer ◽  
Roxanne Zolin

2018 ◽  
Vol 2018 (1) ◽  
pp. 11238
Author(s):  
Connor Lubojacky ◽  
Kim Saxton ◽  
Todd Saxton ◽  
Curtis Wesley

Author(s):  
Thomas H. Allison ◽  
Aaron F. McKenny ◽  
Jeremy C. Short

How entrepreneurs disclose the blemishes of a new venture to investors may be an indicator of relative riskiness and thus may predict how much funding a venture receives. Drawing from venture funding research, the authors propose that hardship rhetoric will have a curvilinear relationship with investment received by a venture. This hypothesis is supported by an analysis of rhetoric reflecting hardship in the memoranda and business plans of 86 high-technology ventures. In addition, the authors find that concrete language in memoranda is positively related to the amount of capital raised. In sum, this study presents the first examination of how the language used in business plans and communications with potential investors influence venture fundraising.


Author(s):  
Jeffirey Gale ◽  
Bill Martello ◽  

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