The last quarter of 2014 saw the most venture capital deals Colorado has seen in 13 years, the Denver Business Journal reported last month. The state registered $342 million in venture capital deals, making it the best quarter since 2001, a spokesman from PricewaterhouseCooper’s Denver office said.
Throughout the entire year, Colorado tallied a total of 86 venture capital deals that were worth $793 million. That was a close to a 71 percent increase from $464.5 million worth of deals that took place in 2013, according to data from Thomson Reuters.
As expected, the biggest deal of the quarter and year involved a technology firm. The expansion stage investment in Boulderâ€™s data storage technology firm Solidfire Inc. was for $59.9 million, PricewaterhouseCooper said.
The PricewaterhouseCooper spokesman said some of the biggest deals are now involving later and expansion stage investments in companies that have a product that is already on the market or is ready to be released. “There’s less risk [for investors] with a proven technology,” he explained.
When a company is ready to expand and needs the seed capital to do so, venture capital might be the perfect solution. As this market report shows, there are many angel investors out there who are willing to put money down on companies that they think could earn them a big reward.
One of the most important steps is knowing how to appeal to these investors, and our firm can help Denver startups and small businesses do that. We have helped numerous local businesses get the expansion capital they need by contracting with angel investors.
This is an especially good option for the various types of high-risk, short-term ventures that often do not qualify for conventional business loans in Colorado. To find out more about venture capital opportunities in the Denver area, contact us today.