public funded supporting agencies are available for - even if little - a certain cost, that some new entrepreneurs might not be able to finance. Relating to Chrisman & McMullan (2000), we observe that entrepreneurs in Brazil do not use external support agencies as a competitive advantage over others. The reasons for such strategy were not clear through the interviews. Analyzing the Swedish entrepreneurs’ perception of the non -financial assistance factor, we observe that its impact is not linked to the moment after the “likelihood to enterprise” as originally linked in our framework, but rather to the entrepreneurs’ ability to enterprise.
83 Brazilians entrepreneurs did not expressed any comments regarding non-financial assistance agencies, which leads us to believe that such agencies are either considered inefficient or failing to be perceived by the entrepreneurs. 6.2.7. Financial assistance factor As presented in chapter 3, the financial resources for a new company can be either internal or external. Being internal resources the entrepreneur savings, retained profits and earnings, and the external major resources: business angels, venture capital investors, commercial banks, governmental assistance and private investments by friends and family. Independent of the country in which they operate, the majority of entrepreneurs interviewed used internal resources to stablish their business, stating that they did not wished to lose control over the company’s directions and operations. The respondents further stated that other than the autonomy, they did not want to comply with the terms attached to the external capital, being in accordance to Aldrich and Ruef (2006, pp.84- 90). Despite the fact that most of the entrepreneurs in both countries used personal savings to start their companies, the countries’ external funding resources have completely different characteristics. In Sweden the public funding system is well developed and a good option for entrepreneurs, meanwhile in Brazil the public funding system is complex and time consuming, making private investments a better solution. Public funding As stated previously, in Sweden there are public funded organizations to support business concepts and new ventures. They offer advisory services, loans and venture capital through all phases of the business establishment. The main public funded organization is owned by the Swedish government and is the parent company to sixteen regional subsidiaries with forty offices across the country. This company offers, for example, risk bearing loans taking slightly larger risk in investments that other public or private investment companies would do and based on the viability of an idea and company potential criteria in all industries. It also provides venture capital funds to supplement the investment needs at the seed phase, taking higher risks when the access to capital for those companies is more difficult. However it concerns companies with scalable business
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