Working Papers
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Working Paper
Published: May 2021: An entrepreneur-led economic recovery from the coronavirus pandemic will be compromised if there is a decline in the availability of risk capital. Business angels play a critical role in financing the start of the entrepreneurial pipeline hence any decline in their investment activity will have a negative effect on the ability of entrepreneurs to start and commence the scaling process. This paper draws on two unique data sources on investments made by business angels in Scotland before and since the onset of the pandemic. It shows that business angels have continued to invest since the onset of the crisis. However, their investment activity declined sharply between Q2 and Q3 2020 before stabilising in Q4. Angels have increased their emphasis on follow-on investments and in businesses that have raised one or more previous rounds of funding These trends highlight an emerging problem for entrepreneurs seeking to raise their first round of angel funding that policy-makers need to address.
Topical Reports
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Analysis Report
Published: July 2020. Using 2018 micro-data on firms and plants for the UK, this report looks at the number and importance of scale-ups across various spatial areas, including their contribution to labour productivity. Scaleup firms in the south-east of the UK tended to perform better.
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Analysis Report
Published: December 2020. Spatial Targeting for Trade and External Investment: A Report to the NE LEP.
This report presents evidence from micro-data on productivity in the North East (Chapter 2) and regional differences in engagement in trade and foreign investment (Chapters 3-5). Finally, a simple analysis is provided of the possible short-run implications to trade of a no-deal Brexit (Chapter 6).