Access to Finance: Examining Non-Traditional Platforms for Funding

1. Venture Capital

Venture Capital as a potential financing option works in select situations

Growth opportunity must be huge

•

Snapshot of US Venture Capital Industry

• Mostly Technology focused investments

By Sector Focus

%

By Stage

%

Software

35%

Seed

3%

• Mostly in near-growth or expansion stages

Bio-Technology

15%

Early

30%

Medical Devices

10%

Expansion

35%

• Fund manager has less flexibility

Industrial/Energy

10%

Later

32%

• Deal sizes of $1 – $10 M

Source: National Venture Capital Association

To what extent is venture capital relevant for Caribbean businesses?