Last year was a banner year for venture capital investing. Venture investors put over $48 billion dollars into the financial ecosystem, according to data that indicated lesser amounts in previous years – about $30 billion in 2013 and $27.5 billion in 2012. (The figures are from Thomson Reuters data provided for the PricewaterhouseCoopers and the National Venture Capital Association MoneyTree Report.)
The next biggest years were 1999 ($54.9 billion) and 2000 ($105 billion). Compared to those totals from the years leading up to the dot-com implosion, the 2014 figure indicates healthy, robust growth. Dealflow’s closed deal data indicates that some deals worth some $36.56 billion were filed as closed in regulatory filings or closed on portals before they could be tracked in our monthly tally of open financings.
The Dealflow data indicates that only 31% of the year’s financings were open for an appreciable amount of time in which investors would learn of them – or consider backing them. The numbers indicate a paradox for investors: when capital flows freely and financings are frequent, investors have less time to learn about opportunities and dedicate capital to them.
Our graphic breaks down closed deals across sectors. Not surprisingly, information technology represents the biggest piece – over one-quarter of the total. Financials, healthcare and real estate also made up significant pieces of the pie.
Editor's Note: Changing Accredited Investor Definitions is an excerpt from Dealflow.com's whitepaper, ONLINE DEAL MARKETING OUTLOOK FOR Q1 2015 Investors and Issuers Chafe as Regulators Dally; States Offer New Alternatives; General Solicitation under Surveillance. For more information, visit Dealflow.com.
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