New rules designed to improve the transparency of investment funds
could make venture capital less attractive to small businesses by
forcing them to publish commercially sensitive information, according to
venture capitalists.
The EU has set up an SME finance forum to tackle the ongoing funding
crisis facing small businesses but Uli Fricke, chair of the European
Venture Capital Association (EVCA), says a clause in the Alternative
Investment Fund Managers Directive (AIFMD)
will undermine efforts to support fast-growing firms.
Fricke said companies with 50 employees will have to meet additional disclosure criteria if they accept venture capital, forcing them to share details of research investments and business strategies.
To read the full, original article click on this link: EU investment funds directive 'will hurt SMEs' | EurActiv
Author: EurActiv
