Economic growth, entrepreneurship and venture capital in South Africa

Snyman, Hendrik

Economic growth, entrepreneurship and venture capital in South Africa

Master Thesis

2012

Publisher

University of Cape Town

Department

Department of Finance and Tax

Faculty

Faculty of Commerce

Abstract

Within the private equity spectrum of investment stages, venture capital and early stage investments are heralded as critical where it has been shown that an increase in private equity early-stage investments of 0.1% of GDP is associated with an increase in real economic growth of 0.96% (Meyer, 2010). This dissertation suggests that within the South African private equity industry fund managers are preoccupied with competing for later stage investments. The study also proposes that the early stage private equity spectrum is severely under-represented in South Africa. Even though there is a healthy distribution between investors as well as the stage of investment they prefer within venture capital, the study suggests that the lack of total funds committed to early stage investments could be a limiting factor for job creation and economic growth.

Description

Includes bibliographical references.

Keywords

Financial Management

Reference:

Collections

Masters

Full item page