Once a myth takes hold it's difficult to debunk it and venture capital funding is commonly seen as synonymous with tech startups but in reality it isn't.
In 2014 we reported that about 76% of US tech companies acquired in 2012 had not raised institutional investment (VC/PE - private equity) prior to acquisition. In addition, about 75% of venture capital-backed US startups do not return investors' money. The common rule of thumb is that of 10 startups, only three or four fail completely. Another three or four return the original investment, and one or two produce substantial returns. However , the National Venture Capital Association estimated that 25% to 30% of venture-backed businesses fail outright.
