The Guide to Entrepreneurship

46 ◾ The Guide to Entrepreneurship: How to Create Wealth for Your Company

3. Professional services businesses—attorneys, CPAs, doctors, den-

tists, etc.—tend to be dominated by men. When these rms request

expansion loans or business lines of credit, they encounter far less dif-

culty in securing capital.

3.6 Role of Angel Groups

It is well accepted that early-stage equity nancing in the entrepreneurial

sphere plays a critical role. There are two major sources of equity nanc-

ing for business ventures: (1) business angels in the earlier stages and (2)

the institutional venture capital market, which invests primarily in the later

stages of the business cycle.

10,11

Taken together, angels and venture capitalists provide the majority

of high-risk ...