CHAPTER 3

Emerging Companies

Characteristics of Emerging Companies

It has become common to refer to technology-based entrepreneurial ventures as prospective “emerging companies” in large part because of their emphasis on, and potential for, high growth in both employment and revenues. While the term “emerging company” is now frequently used, particularly among professional firms and venture capital investors, there is still no widely accepted definition of the term and the characteristics of the firms that might fall within the scope of the definition. One place to begin in developing a working definition of “emerging company” is to recognize that it does not necessarily include every situation where one entrepreneur or a team of entrepreneurs ...

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