Donovan Research Questions Whether Regulations Hinder Start-Ups

Author: Lorie Marsh

New research from Accountancy's John Donovan showcases how U.S. regulations may actually be hindering startups' ability to raise capital more than it helps. “Financial Reporting and Entrepreneurial Finance: Evidence from Equity Crowdfunding,” was published in Management Science. 

John uses this study in his undergraduate accounting classes to help illustrate how important accounting is for successful entrepreneurs. However, he hopes others will recognize this area of research and its potential to improve entrepreneurs’ access to capital in the U.S.