Europeans punish entrepreneurs because they stigmatise past business failure; Americans encourage new businesses because they give entrepreneurs a second chance. The belief, writes Warwick Business School associate dean David Storey in the Financial Times, is that because entrepreneurs learn valuable lessons when their businesses go bust they should be given more leniency to start anew.

Storey summarises this belief to dismantle it, arguing that knowledge gained from a failed business makes little difference to future business success, due to the unpredictability of starting a business. ‘The best analogy is with a lottery,’ Storey writes, ‘it is not possible to learn to win a lottery.’

Storey points to research in the UK and Germany which indicates that experienced founders are no more or less likely to succeed in starting a new business than novices. It goes against one of the basic tenants of venture capital investing – focusing on the experience of the management team. Yet it is hard to refute research with only anecdotal evidence of successful serial entrepreneurs, as Nic Brisbourne of DFJ Esprit writes in his blog.

Success is, in this view, somewhat out of the individual entrepreneur’s hands - yet if boosting the number of successful start-ups in Europe is the goal, then this mindset itself may be an impediment. Storey extends his lottery analogy to say that the US has more ‘eventual winners’ simply because more businesses are founded, regardless of whether the founders are experienced or not.

Assuming this is the case, if entrepreneurs are not made aware of others’ successes and led to believe their hard work, vision and, yes, experience will help them achieve their goals, then they are unlikely to start new businesses in the first place – reducing the overall number of successes.

Regardless of whether a serial entrepreneur’s success will positively impact their next venture’s performance, they may certainly play a role inspiring others in their own ventures. While Storey’s op-ed focuses on the failed entrepreneur who tries again, Europe could benefit from more repeat attempts by entrepreneurs who have already succeeded.

Further investigation is required, but anecdotally it appears as though entrepreneurs in the Silicon Valley rarely drop out of the race. They come back and back again for their second, third and fourth startups, and many make use of fortunes made from past successes to bankroll others’ startups. A number of successful European entrepreneurs are taking similar paths; more should be encouraged to follow. Whether or not experience truly matters, it’s more inspiring than leaving everything to fate.

Creabilis Therapeutics, the Italy-based pharmaceutical company, has raised £15.8m (€20m) in series A funding from Sofinnova Partners and Neomed Management. Creabilis Therapeutics is developing specialty pharmaceuticals for the field of dermatology. The funding will be used to finance the company's phase II clinical trials for its most advanced products: CT327, developed for the treatment of psoriasis and dermatitis, and CT200, developed for the treatment of Behcet's disease. Creabilis also intends to use the funding to accelerate its pipeline of pre-clinical dermatology drug candidates.

Inuk Networks, the UK-based provider of IPTV technologies, has raised £9.5m (€12m) in second round funding from SC4 Digital Media and existing investor, Wesley Clover. Inuk Networks has developed the Freewire triple-play platform for the distribution of broadcast quality TV and carrier-class telephony over closed IP-based networks. The funding is to be used to further develop the company's technology and to expand the company in the UK, Ireland and North America.

LiveU, the Israel-based provider of video uplink broadcast technologies over wireless networks, has raised $9m (€5.8m) in second round funding from Carmel Ventures and existing investor, Canaan Partners. LiveU has developed a technology for the transmission of live video, transmitting directly from the field to the internet and television. The company's technology utilises existing wireless networks, including 3G, Wi-Fi and WiMAX, circumventing the need for a dedicated technological infrastructure. The funding is to be used to expand the company's marketing, sales and customer service departments globally, and to finance the company's R&D programme.

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OpenBit, the Finland-based software company, has been acquired by Tanla for $15.8 (€10m). OpenBit specialises in developing integration technologies for on-demand payment and digital rights management for mobile applications. The acquisition sees Tanla securing 85 per cent of the shareholding of OpenBit, with the remaining 15 per cent held by the company's management to be purchased by Tanla over two tranches of 5 per cent and 10 per cent after the first and second years. The acquisition will enable Tanla to increase its share in the handset market, extending the company's payments portfolio.

Let It Wave, the France-based fabless-semiconductor company, has been acquired by the Zoran Corporation for $27.6m (€17.8m). Let It Wave specialises in developing image processing and video products based on bandlet technology, for the reduction of motion blur on LCD televisions. The acquisition will enable Zoran to deliver high-performance image processing for flat panel television sets.

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Schema, the Israel-based provider of network optimisation software solutions for telecommunications operators, has appointed Menahem Tirosh to the position of chief executive. Prior to joining the company, Mr Tirosh held the position of chief executive at Outsmart, a position he had held since 2005. Before that, Mr Tirosh served as chief executive at TTI Telecom and had held senior positions at Partner Communications and Motorola Israel. Mr Tirosh entered the telecommunications industry in 1996, having served in the Israel Defense Force since 1969.

Exalead, the France-based developer of information search and retrieval software, has appointed Paul Doscher to the position of chief executive, North America. Prior to joining the company, Mr Doscher managed US-based Jaspersoft. Before that, Mr Doscher held a variety of positions at companies including VMWare and Oracle.

Panda Security, the Spain-based provider of IT security systems, has appointed Didier Guibal to the position of president, US. Prior to joining the company, Mr Guibal was vice president of sales at RightNow Technologies for seven years. Before that, Mr Guibal served as vice president of sales and marketing at McAfee.

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The Key Revolution, the UK-based provider of portable office USB storage drives, has informed Library House that the company is considering seeking further investment. Mr Adrian Burholt, the chief executive and co-founder of The Key Revolution, stated that any funding raised would likely be used towards market opportunities. Mr Burholt also advised Library House that the company is looking to exit via a trade sale within a three to five year timeframe.

VIOSO, the Germany-based developer and distributor of user software for digital video-projection applications, has revealed to Library House that the company intends to raise between £792k and £1.2m (€1m and €1.5m) in November 2008. Mr Emanuel Zueger, the managing director of finances and development at VIOSO, stated to Library House that this funding would be used for product development.

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