Assessment of findings Year Average life cycle Average level of Average level of % that fail, exit (Years) seed funding growth funding or continue Active: 75% 2010 5.1 $0.75m 7000% Acquired: 20.8% Out of business: 4.2% Active: 67.8 % 2011 3.6 $1.14m 1600% Acquired: 25.0% Out of business: 7.2% Active: 75.0% 2012 3.1 $2.0 2600% Acquired: 25.0% Out of business: 0.0% Active: 89.5% 2013 2.3 $0.5m 553% Acquired: 10.5% Out of business: 0.0% Active: 99.99% 2014 1.5 $2.96m 139% Acquired: 0.0% Out of business: 0.0% EPA WHITE PAPER, PAYTECH INVESTMENTS, COPYRIGHT © MAY 2016 10