PT  - JOURNAL ARTICLE
AU  - Gavin C. Reid
AU  - Julia A. Smith
TI  - Post-Investment Performance Appraisal
AID  - 10.3905/jpe.2003.320061
DP  - 2003 Nov 30
TA  - The Journal of Private Equity
PG  - 36--49
VI  - 7
IP  - 1
4099  - https://pm-research.com/content/7/1/36.short
4100  - https://pm-research.com/content/7/1/36.full
AB  - This article reports on the post-investment performance of a group of U.K. companies in which venture capital was invested. Base period field work data are combined with FAME database evidence to track performance, in the light of initial investor-investee relations. Cluster analysis is used to separate good from bad investments, without reference to “expert evaluation”—it is all done from performance indicators. Multiple regression analysis is then used to determine the impact that investees' organizational features, including their monitoring and control systems, and risk management strategies, have had on their post-investment performance. The article shows how some investment characteristics, like information sharing and performance-linked equity schemes, affect performance in a positive fashion.