This book examines the adverse effects of complexity, information asymmetries, transaction costs, and uncertainty on investors' decision making. It suggests mitigating those effects using appropriate and matching signals, and analyzes a sample of 903 German startups to quantitatively highlight the distinct financing patterns and characteristics of high-tech startups. It then investigates the reasons for these patterns on the basis of a qualitative study that includes 34 interviews with investors and entrepreneurs in the US and Germany and an international expert panel. Lastly, it presents a framework that matches complexity factors with appropriate productive signals. 

Introduction: High-Tech Startup Financing

Theory: The Liability of Complexity
Methodology: Mixed Methods Approach
Study I: Survey of German Startups
Study II: Interviews with Entrepreneurs and Investors
Framework: Matching Signals with Complexities of High-Tech Strartups
Discussion: Why Signals Can Help to Overcome the Liability of Complexity
Conclusion: Taming Complexity
Appendix.