~ Newsflash: research shows that startup companies that receive funding are more likely to succeed!
No, really. People actually spent time to study this. Researchers from Harvard and MIT, no less, found that startups that raised money from angel investors were
- 20-25% more likely to still be around four years later
- 9-11% more likely to be acquired or have an IPO
- larger, with 16-20 more employees
- 16-18% more likely to have been granted a patent
Next time, can researchers study something less obvious? For example, as measured by outcomes:
- Which angel groups produce higher startup success with their funding?
- How valuable is it to have angels with domain expertise that matches the startup's business?
- Which angel groups are more likely to provide follow-on funding?
- Which financing terms correlate with higher success rates?