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To: Scarecrow who wrote (1150)	8/6/1998 6:09:00 PM
From: Premier	Read Replies (2) \| Respond to of 19700

I could not find the specific study where I had read about the 45%, but this will do for your edification and enjoyment. The article is somewhat dated but you will get the picture. "Toward a Model of Venture Capital Investment Decision Making" Vance H Fried and Robert D Hiscrich - Financial Management, Vol 23, No 3, Autumn 1994, pages 28-37 Generic Criteria........First, there must be significant potential for earnings growth. This is obvious for early stage ventures, which may not be generating revenue yet, but it is also important for late stage investments. It is difficult, if not impossible, to get venture capital rates of return (30% to 70% IRRs)without significant earnings growth...... Authors are, obviously, implying that venture capital returns are 30% to 70%. Good luck to you. Premier