• Agency and similarity effects and the VC's attitude towards academic spin-out investing

      Knockaert, Mirjam; Clarysse, Bart; Wright, Mike; Lockett, Andy (2008)
    • Do human capital and fund characteristics drive follow-up behaviour of early stage high-tech VCs?

      Knockaert, Mirjam; Lockett, Andy; Clarysse, Bart; Wright, Mike (2005)
      This paper uses a unique dataset to examine the neglected but important issue concerning the relationship between the human capital and fund characteristics of venture capitalists and post-investment follow-up behavior in early stage high tech investments. We found no indication that involvement in monitoring activities by the investment manager is determined by either fund or human capital characteristics. In relation to value-adding activities, human capital variables were the most important, with previous consulting experience and entrepreneurial experience contributing to a higher involvement in value-adding activities. Furthermore, the diversity of an investment manager's portfolio was negatively related to involvement in value-adding activities. Finally, with respect to fund level characteristics, we found that investment managers of captive funds were less involved in value-adding activities. Keywords: venture capital, early stage high tech firms, post-investment follow-up behavior, human capital, fund characteristics
    • How do early stage high tech innovators make their investment decisions?

      Clarysse, Bart; Lockett, Andy; Knockaert, Mirjam (2004)
    • How Do Early Stage High Technology Investors Select Their Investments?

      Clarysse, Bart; Knockaert, Mirjam; Lockett, Andy (2005)
      This study examines the selection behaviour of 68 European early stage high tech VCs. In particular, we examine whether or not these VCs exhibit heterogeneity in their selection behaviour. To examine these issues we employ a conjoint analysis methodology. Our results indicate that VCs exhibit substantial heterogeneity in investment selection behaviour. Employing a cluster analysis three types of investors emerge: those who focus on technology, those who focus on finance and those who focus on people. We then examine the drivers of these differences, being the sectoral focus, the sources of funds and the human capital of the investment manager.
    • Outside board members in the high-tech start-ups

      Clarysse, Bart; Knockaert, Mirjam; Lockett, Andy (2006)
      Board composition in large organizations has been subject to much empirical research, however, little attention has been focused on board composition in start-ups, and more specifically high tech start-ups. This lack of research is surprising given that many high tech start-ups have multiple equity stakeholders such as venture capitalists or public research organizations, such as universities. Given that high tech start-ups are commonly resource-poor these external stakeholders may play an important role in accessing critical external resources. Drawing on agency theory, resource dependence theory and social network theory we examine the tensions that exist between the founding team and external equity stakeholders in determining the presence of outside board members. In particular we focus on whether or not the outside board members have either complementary or substitute human capital to the founding team. We test our model on a sample of 140 high tech start-ups in Flanders. Our results indicate that high tech start-ups with a public research organization as an external equity stakeholder are more likely to develop boards with outside board members with complementary skills to the founding team. Conversely, in high tech start-ups where the founding team has had autonomy, or where a venture capitalist is an external equity stakeholder, the board tends to consist of outside board members with similar or substitute human capital to the founding team. Our findings the presence of an external equity stakeholder does not guarantee that outside board members have complementary human capital to the founding team.