Venture Capital’s Economic Impact
From SSTI:
Last month, the National Venture Capital Association (NVCA) released its analysis of the economic role of US-based venture-backed companies. The NVCA database, developed by Global Insight, tracks 23,500 companies. Overall, the US has about 5.8 million companies with employees. This small sample of venture-backed companies has a big impact. Together, these firms account for 16.6% of US GDP, and 9.0% of US private sector employment. These firms also outperform comparable companies without venture backing. Between 2003 and 2005, employment at venture-backed firms jumped 4.1 percent while overall national employment grew only 1.3 percent. The top sectors for venture-backed companies are:
media/entertainment/retail
computers/peripherals
industrial/energy
financial services
software
Access the 2007 National Venture Capital Association report, Venture Impact: The Economic Importance of Venture Capital Backed Companies to the US Economy (Third Edition).