Assessing the effectiveness of government policies to stimulate the supply of early-stage risk capital : evidence from Scotland

Rights statement
Awarding institution
  • University of Strathclyde
Date of award
  • 2021
Thesis identifier
  • T16317
Person Identifier (Local)
  • 201458597
Qualification Level
Qualification Name
Department, School or Faculty
  • Early-stage risk capital, in the form of business angel investments and public venture capital funds, have long been believed to be important sources of capital for the formation and expansion of small businesses, so much so that increased policy monies have been diverted towards encouragement of these sources of funds with the belief that they contribute to economic development. This belief however has remained an expression of faith as there has been little convincing research to substantiate that point of view as data challenges have left the area under-researched. Having obtained primary data from Scottish business angel syndicates and their investee companies, this study argues that indeed these policy monies have contributed to economic development. By using a mixed methods approach and developing a novel analytical tool, this study argues that the policy monies invested in incentives to encourage business angel investment flows of capital and in public investment funds to enhance the investment volume of capital in the market do indeed create added economic value in the Scottish economy, both in term of economic growth as well as job creation. The work is conducted using an extended methodology of the approach recommended by the Scottish Government and the findings are placed in the context of the Scottish economy.
Advisor / supervisor
  • MacKenzie, Niall
  • Mwaura, Samuel
Resource Type