7 Mar 2017

The Shortage of Risk Capital for Europe’s High Growth Businesses

AFME has published a new report The Shortage of Risk Capital for Europe’s High Growth Businesses.      

This report was authored by AFME with the support of 12 other European organisations representing various stakeholders involved in risk capital. These include the European Investment Fund (EIF), seven other European trade associations representing businesses (BusinessEurope), business angels (BAE, EBAN), venture capital (InvestEurope), accountants (AccountancyEurope), and crowdfunding (ECN), as well as stock exchanges (FESE, Deutsche Bӧrse, Euronext, London Stock Exchange and Nasdaq).

The report also received the support of the European Commission’s Olivier Guersent, Director General at DG FISMA, referenced in the press release, which summarises the key findings of the report.

European Commission Vice President Valdis Dombrovskis gave the keynote presentation at the launch event of the report in Brussels on 7 March.

The purpose of the report is to outline the existing sources of risk capital for growing businesses, why shortages occur, and to highlight recommendations for European and national policymakers to improve its supply.

The report is part of AFME’s broader growth initiatives and is the fourth in a series of publications focusing on unlocking growth and jobs in Europe. Earlier publications include Bridging the Growth Gap, which highlighted the gaps in equity and debt financing for small and mid-sized companies. This was followed by Raising Finance for Europe’s Small and Medium-sized Businesses, translated in six languages.

Our goal is for this report to provide a comprehensive and fact-based analysis to assist policymakers’ discussions on ways to further unlock risk capital for Europe’s small and innovative businesses.

Click here to download The European funding escalator and “climbing wall” infographic.