Understanding the power law is vital to investing in startups effectively
Our approach to investing in startups has always been built on statistical analysis of the UK startup market and its investors.
In this white paper – the first ever power law analysis conducted on UK startups – SyndicateRoom CEO Graham Schwikkard explores a statistical principle that's essential to developing an effective investment strategy for startups, which is overlooked in the approach taken by many funds.
What's in the white paper?
This white paper explains what the power law is and how it applies to the types of distributions of growth found when looking at the startup market as a whole. You will learn:
- The ideal approach to take when investing in startups based on the principles that govern the market itself.
- Why larger portfolios are better.
- How the power law changes at different startup stages, impacting how you should invest at each stage.