- October 12, 2021
- Posted by: EBAN Team
- Category: Industry Reports, KNOWLEDGE CENTER
The supply of entrepreneurial finance in Europe is constrained by the geographical fragmentation of its capital market.
The need to facilitate more cross-border investing by business angels – the main source of early stage finance – is
recognized. A study of business angels on the island of Ireland identifies three constraints on cross-border investing: (1) lack of information on cross-border investment opportunities; (2) the preference of angels to invest locally; and (3) tax incentives that are only available for investments in the angel’s own country. Increasing cross-border investment requires mechanisms that build relationships between business angels in different countries.
Authors:
Colin Mason, Adam Smith Business School, University of Glasgow, Glasgow, Scotland, UK
Tiago Botelho, Norwich Business School, University of East Anglia, Norwich, UK
Joe Duggett, Director at SQW, Cambridge, UK