Abstract
Silicon Valley’s success has led other regions to attempt their own high-tech transformations, yet most imitators have failed. Entrepreneurs may be in short supply in these “non-tech” regions, but some non-tech regions are home to high-quality entrepreneurs who relocate to Silicon Valley due to a lack of local financing for their start-ups. Non-tech regions must provide local finance to prevent entrepreneurial relocation and reap spillover benefits for their communities. This Article compares three possible sources of entrepreneurial finance—private venture capital, state-sponsored venture capital, and angel investor groups—and finds that angel groups have distinct advantages when it comes to funding innovation in non-tech regions. This entrepreneurial finance story is then supplemented by a “law and entrepreneurship” story—specifically, a look at securities laws that might impede optimal levels of angel group financing.
Document Type
Article
Publication Date
7-2010
Publication Information
87 Washington University Law Review 717-762 (2010)
Repository Citation
Ibrahim, Darian M., "Financing the Next Silicon Valley" (2010). Faculty Publications. 1688.
https://scholarship.law.wm.edu/facpubs/1688
Included in
Business Organizations Law Commons, Entrepreneurial and Small Business Operations Commons