What Are Venture Capitalists Looking for in Start-Ups?

Harvard’s Paul Gompers, University of British Columbia’s Will Gornall, Chicago Booth’s Steve Kaplan, and Stanford’s Ilya A. Strebulaev surveyed 885 institutional venture capitalists, posing dozens of questions. They find that big investors almost always cite a management team for their willingness to invest. Venture capitalists also say that deal selection is the most important factor in making winning investments.