Abstract

http://ssrn.com/abstract=939073
 
 

References (10)



 
 

Citations (49)



 


 



How Well do Venture Capital Databases Reflect Actual Investments?


Steven N. Kaplan


University of Chicago - Booth School of Business; National Bureau of Economic Research (NBER)

Per Strömberg


Swedish House of Finance

Berk A. Sensoy


Ohio State University - Fisher College of Business

September 2002


Abstract:     
Researchers increasingly have used the two primary venture capital databases - VentureOne and Venture Economics - to study venture capital (VC) financings. These data are largely self-reported. In this paper, we compare the actual contracts in 143 VC financings to their characterizations in the databases. The databases exclude roughly 15% of the financing rounds. The Venture Economics database oversamples larger rounds and California companies while the financing rounds included in the VentureOne database exhibit no significant bias. The databases provide unbiased, but noisy measures of financing amounts and their valuations. The databases also are less successful in measuring milestone rounds. The VentureOne database oversamples valuations for highly valued firms even controlling for firm characteristics. We discuss the implications of these findings for researchers and practitioners.

Number of Pages in PDF File: 30

Keywords: venture capital, databases, investments

JEL Classification: G24

working papers series





Download This Paper

Date posted: October 22, 2006  

Suggested Citation

Kaplan, Steven N. and Strömberg, Per and Sensoy, Berk A., How Well do Venture Capital Databases Reflect Actual Investments? (September 2002). Available at SSRN: http://ssrn.com/abstract=939073 or http://dx.doi.org/10.2139/ssrn.939073

Contact Information

Steven Neil Kaplan (Contact Author)
University of Chicago - Booth School of Business ( email )
5807 S. Woodlawn Avenue
Chicago, IL 60637
United States
773-702-4513 (Phone)
773-702-0458 (Fax)
National Bureau of Economic Research (NBER)
1050 Massachusetts Avenue
Cambridge, MA 02138
United States
Per Stromberg
Swedish House of Finance ( email )
Drottninggatan 98
111 60 Stockholm
Sweden

Berk A. Sensoy
Ohio State University - Fisher College of Business ( email )
2100 Neil Avenue
Columbus, OH 43210-1144
United States

Feedback to SSRN


Paper statistics
Abstract Views: 2,797
Downloads: 608
Download Rank: 24,042
References:  10
Citations:  49
Paper comments
No comments have been made on this paper

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo4 in 0.578 seconds