Canadian start-ups looking to lure venture capital typically face long odds. Of those jockeying for investment, at most two per cent actually get cash injections, according to Canada’s Venture Capital and Private Equity Association (CVCA). And, the Canadian investment market has been in a slump since the so-called tech wreck of 2001, which has seen fundraising slide even as the number of requests for financing has soared.
According to Industry Canada, overall VC investment in Canada reached almost $1.47-billion in 2012, a slight drop from the previous year, but deal making was on the rebound in the first half of 2013.
Richard Rémillard, CVCA’s executive director, pointed to other bright spots for start-ups including the IPO market heating up, along with mergers and acquisitions. He also pointed to the federal government’s “venture capital action plan,” which pledged a $400-million injection while a matching program now in the works with an aim of attracting close to $1-billion from theRead More »from Four ways to beat the long odds of venture capital