Title: University-affiliated Venture Capital funds: funding of University Spin-Off companies

Authors: Lars Oystein Widding, Marius Tuft Mathisen, Oystein Madsen

Addresses: Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology (NTNU), Alfred Getzv. 1, NO-7491 Trondheim, Norway; Bodo Graduate School of Business, Norway. ' Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology (NTNU), Norway. ' Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology (NTNU), Norway

Abstract: During the last decade, there has been an increasing focus on commercialisation from universities, often referred to as University Spin-Off companies (USOs). USOs are considered more profitable and survive longer when compared with other start-ups; however, they face major obstacles when seeking funding due to information asymmetry, uncertainty and the nature of their characteristics. The findings of this study indicate that USOs lack financing alternatives at early stages providing sufficient amounts of funding. In terms of bridging the financing gap, University-affiliated Venture Capital funds (UVCs) should be considered as an initiative to improve the financing situations for USOs.

Keywords: technology transfer; USOs; university spin-offs; capital gap; risk capital; UVCs; university-affiliated venture capital; spin-offs funding; commercialisation; financing alternatives.

DOI: 10.1504/IJTTC.2009.024387

International Journal of Technology Transfer and Commercialisation, 2009 Vol.8 No.2/3, pp.229 - 245

Published online: 02 Apr 2009 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article