EIF Working Paper 2019/055: The economic impact of VC investments supported by the EIF.

The paper represents Vol V of the series “The European venture capital landscape: an EIF perspective” and looks at the economic impact of VC investments supported by the EIF during the years 2007 to 2014. The analysis compares EIF-backed start-ups to a control group of non-VC-backed companies, using innovative techniques such as machine learning, satellite imagery analysis, and network theory.

The results prove the positive effects of EIF-supported VC investments on start-up performance, as measured through various financial indicators (e.g. assets, revenue, employment). VC financing supported by the EIF enabled start-ups to prioritise long-term growth, trading off short- to medium-term profitability if necessary.

The EIF Working Papers are designed to make available to a wider readership selected topics and studies in relation to EIF´s business. The Working Papers are edited by EIF's Research & Market Analysis and are typically authored or co-authored by EIF staff or are written in cooperation with EIF.