Does the same investment team create value? Evidence from venture capital syndication

Axel Buchner (), Pia Helbing (), Abdulkadir Mohamed () and Hyungseok David Yoon ()
Additional contact information
Axel Buchner: ESCP Business School
Pia Helbing: University of Glasgow, Adam Smith Business School
Abdulkadir Mohamed: Leeds University Business School, University of Leeds
Hyungseok David Yoon: University of York, School for Business and Society

Small Business Economics, 2025, vol. 65, issue 4, No 10, 2360 pages

Abstract: Abstract We study the effect of repeated venture capital (VC) syndication on VC investment performance. We posit that repeated syndication is positively associated with stagnant investment returns but negatively associated with high investment returns. Using a large dataset from 1985 through 2017, we find support for our intuition. Additionally, our results show that periods of recession accentuate the positive (negative) relationship between repeated syndication and stagnant (high) investment returns. These findings are robust after addressing sample selection and endogeneity concerns. Our study provides nuanced insights into the performance implications of having the same investment teams in the context of VC syndications.

Keywords: Recession; Repeated collaboration; Syndication; Venture capital (search for similar items in EconPapers)
JEL-codes: G01 G11 G24 (search for similar items in EconPapers)
Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s11187-025-01058-7 Abstract (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:kap:sbusec:v:65:y:2025:i:4:d:10.1007_s11187-025-01058-7

Ordering information: This journal article can be ordered from
http://www.springer. ... 29/journal/11187/PS2

DOI: 10.1007/s11187-025-01058-7

Access Statistics for this article

Small Business Economics is currently edited by Zoltan J. Acs and David B. Audretsch

More articles in Small Business Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().