Results 1-2 of 2 found for venture in Full Text AND capital in Full Text AND bootstrap in Full Text in selected journal: Journal of Management.

The entrepreneurship of resource-based theory
Sharon A. Alvarez and Lowell W. Busenitz
Journal of Management, Dec 2001; vol. 27: pp. 755 – 775.

…and firms, and bootstrap together the necessary resources for a venture to successfully…based theory, and venture capitalist involvement in…Bundling Human Capital with organizational…resource-based capabilities, venture. strategies, and…

Strategy and Bankruptcy: An Exploration in to Organizational Death
Jerry Paul Sheppard
Journal of Management, Aug 1994; vol. 20: pp. 795 – 883.

…firms have fewer joint ventures than non-failed firms…Commerce Clearinghouse Capital Changes Reporter for…a percentage). Joint venture activity was measured by the number of joint ventures in which the organization…by measuring working capital, cash, or even potential…

Results 1-10 of 36 found for venture in Full Text AND capital in Full Text AND wealth in Full Text AND distribution in Full Text in selected journal: Journal of Management.

Emerging Issues in Corporate Entrepreneurship
Gregory G. Dess, R. Duane Ireland, Shaker A. Zahra, Steven W. Floyd, Jay J. Janney, and Peter J. Lane
Journal of Management, Jun 2003; vol. 29: pp. 351 – 378.

…studies and new ventures vs. established…intellectual capital in creating…advantages and wealth in todays…acquisition for new ventures. Strategic…Intellectual capital: The new wealth of organizations…acquisition for new ventures. Strategic…Intellectual capital: The new wealth of organizations…

A Model of Strategic Entrepreneurship: The Construct and its Dimensions
R. Duane Ireland, Michael A. Hitt, and David G. Sirmon
Journal of Management, Dec 2003; vol. 29: pp. 963 – 989.

…of social capital. Administrative…R. 2001. Wealth and the effects…IPO-stage new ventures. Strategic…to create wealth (Michael…depth of a venture’s human capital and social…of social capital. Administrative…R. 2001. Wealth and the effects…IPO-stage new ventures. Strategic…

Real Options in International Joint Ventures
Jeffrey J. Reuer and Tony W. Tong
Journal of Management, Jun 2005; vol. 31: pp. 403 – 423.

…high-technology: Japanese exploration of venture capital investments in the United…to hierarchies: Shareholder wealth effects of joint venture partner buyouts. Strategic…high-technology: Japanese exploration of venture capital investments in the United…

Venture Survival in a Transitional Economy
Marjorie A. Lyles, Todd Saxton, and Kathleen Watson
Journal of Management, Jun 2004; vol. 30: pp. 351 – 375.

…financial capital as predictors of new venture performance…available capital and infrastructure…supporting these ventures. By the late…innovation and wealth creation…rules of capitalism without adequate…for private ventures in transitional…

Ownership and the Internationalization of Small Firms
Gerard George, Johan Wiklund, and Shaker A. Zahra
Journal of Management, Apr 2005; vol. 31: pp. 210 – 233.

…managers’ wealth, careers…owners such as venture capitalists…in order to capitalize on differences…Note: VC = venture capitalist. the CEOs…undermine their wealth, careers…team; VC = venture capitalist. p <.10…

Walking a Tightrope: Creating Value Through Interorganizational Relationships
Bruce R. Barringer and Jeffrey S. Harrison
Journal of Management, Jun 2000; vol. 26: pp. 367 – 403.

…valuation of joint ventures: joint venture characteristics and wealth gains, Journal of…opportunities for wealth creation, which…productivity of capital and firm assets…the efficiency of distribution channels. Exploration…

A Resource-based View of Strategic Alliances and Firm Value in the Electronic Marketplace
Namgyoo K. Park, John M. Mezias, and Jaeyong Song
Journal of Management, Feb 2004; vol. 30: pp. 7 – 27.

…The stability of joint ventures: Reciprocity and competitive…Venkatraman, N. 1991. Joint venture formations and stock…alliances as social capital: A multidimensional…international joint ventures on shareholder wealth. Financial Review, 25…

The Impact of Ownership Structure on Wage Intensity in Japanese Corporations
Toru Yoshikawa, Phillip H. Phan, and Parthiban David
Journal of Management, Apr 2005; vol. 31: pp. 278 – 300.

…and thus lower cost of capital, to a market’s equity…generalizable. First, human capital is at least as important…creation of economic wealth depends on management’s…collaborative strategies, and in venture capital firms. He has published…

Explaining Variation in Rates of Entrepreneurship in the United States: 1899-1988
Scott Shane
Journal of Management, Oct 1996; vol. 22: pp. 747 – 781.

…invested in the new venture. If the capitalist is an independent…accumulation of capital for investment…entrepreneurship with societal wealth suggests that changes…include the cost of capital as a factor in their models of new venture formation. The…

A Cross-Disciplinary Exploration of Entrepreneurship Research
R. Duane Ireland and Justin W. Webb
Journal of Management, Dec 2007; vol. 33: pp. 891 – 927.

…communication to venture growth in entrepreneurial…multidimensional model of venture growth. Academy…Dalton, D.R. 2001. Wealth and the effects…among IPO-stage new ventures. Strategic Management…legitimacy as a capital market signal. Strategic…costs in franchised distribution channels. Journal…

The real test is not VC-backed vs. bootstrapping, since VC-backed implies a real salary for most founders I have to believe if you were to compare two sorted distributions (e.g. bottom 10% of VC vs. boostrap, next decile,…) that VC would outperform in each decile (or quartile, quintile, percentile) on average.

The question is, at a startup’s formation, is it better to focus on VC or revenue as the way to fund the business. That’s the choice you get to make.

Here I think the odds work much the other way, in that on average 1 in 200 firms are funded, while somewhere between ten and 30% of new bootstrappers survive 5 years depending upon whose statistics you look at.

The next question is once you have successfully bootstrapped the firm to a reasonable plateau that’s sustainable, do you spend time seeking outside investment or continue to grow based on revenue. Here there are a number of factors that make it a much more case by case decision.

Net Net, I think the question you are asking isn’t the one most founders face and has to include factors such as nature of competition, market size, use of funds (e.g. finish development vs. generate demand), and founders’ desire/ability to grow the business above a particular threshold.

“I bet that founders of bootstraps end up earning more money over the long haul out of their businesses than founders of venture-backed firms.” — hmm. I guess it depends on how you count. Your question seems to be asking, how can we as founders maximize our return? To make sense of the answer, I think you wouldn’t just want to look at who ended up earning more money. There area a fair number of billionaires, for instance, in the VC-backed group, and like you say, that sways things a lot. I think as a founder looking to maximize return, you probably care more about something like percentage chance of positive return times average return for positive outcomes, for both groups.

I tend to believe you’re probably right that founders of bootstraps are more likely to have a positive return. I also suspect, though, that the average return is higher for positive outcomes of VC-backed startups. (In other words, bigger gamble, bigger return.) I’d be interested to know if that’s right, though.

“If my speculation is right, would employees stop streaming to VC backed startups based on the promise of stock options?” — again, hmm. Seems to me that many bootstrapped companies don’t share profits in significant amounts with their employees. Again, I have no idea if that’s right — just a guess. Of course there are exceptions, but I bet the supply of bootstraps that might make a very positive return for a non-founder employee would be tightly constrained.

But: yeah. Good questions. I wish entrepreneurs shared information at least as much as VCs do.