A new study
published by professors at the Harvard Business School shows that
angel-backed companies are more likely to succeed and show more growth
than those funded by venture firms alone. Researched and written by
William Kerr and Josh Lerner, the report found that companies with angel
funding see between 30% and 50% higher growth figures in terms of
website traffic, are more likely to survive for four years, and are also
in a better position to receive further rounds of funding.
Angel investing itself has seen large growth over the last several months with the creation of various organizations, events, firms and legislation to spur it on. We've discussed the Open Angel Forum series of events, the creation of "Super Angel" firms, the curated Venture Hacks AngelList, as well as current legislation both helping and hurting angel investments.
Angel investing has become more common, and as this report shows, this is largely due to the value and success it tends to breed. But why are angel investments the secret sauce for some companies? As the report points out, it's the intangibles that angels bring to the table that could be playing a large role in company success.
To read the full, original article click on this link: Angel-Backed Companies More Likely to Succeed, Says Harvard Study - ReadWriteStart
Author: Chris Cameron
