The economy has been improving ,regulations have been improved upon to access markets by small businesses to raise capital. The bridge between capital and opportunity has still not been build. The two sides are divided by obstacles that have not yet been bridged for general use. The issue is not the lack of capital but rather access and allocation.
Let’s review the two sides to a financial transaction;
Capital (Investors) whether individuals or institution everyone is looking for a good deal institution have a leg up because they have the resources to vet a transaction. Institutions are interested in larger transactions that fit their criteria. The individual in many cases do not have the recourses to vet the transaction leaving them at risk. The individuals need access to qualified transactions that are vetted, yet in many cases the needed resources are not available.
Opportunity (Investment) many opportunities are not truly prepared to raise capital nor do they have a bridge to the investors who may have the greatest interest in the opportunity.
Raising capital is a dysfunctional process for most and the needed infrastructure is wholly inadequate. We still suffer from it is not what you know it is who you know and if you do not have the know you are virtually an orphan.
With the internet and the hoard of would be funding platforms available to day it is questionable to how many of them can actually help with the placement of an investment opportunity.