Australian Venture Capital In Need Of A Rocket Propelled Grenade

Freelance journalist Brad Howarth has written a well balanced, well researched article in Red Herring regarding the state of venture capital in Australia.

It makes my blood boil on so many levels. 

There is the point that private equity is postively booming, while venture is “yet to be proven”. If it was given half a chance and a uniquely Australian model was developed – I have no doubt it would work.

However, continuing to apply the US west coast model in the Australian context (linear raisings with an exit via IPO/trade sale) and the continued scepticism of the gatekeepers (Ovidio Iglesias: “…the figures show it has still not delivered”) – means the virtuous cycle of success breeding success doesn’t stand much chance.