Experimental Design Details
Applications were screened to ensure they meet the eligibility requirements. Eligible applications were then scored on four criteria to measure their initial level of investment readiness: market attractiveness, product technology, traction, and team. The top 10 proposals overall in terms of score were then randomly assigned to 5 in treatment and 5 in control, in order to ensure that some of the very top proposals were in both groups. Then the remainder of firms were divided into groups (strata) based on country (Serbia, Croatia, or the rest) and whether or not they already have a private investor. Within these six groups firms were ranked into groups of four on the basis of their investment readiness score. Within these quartets two firms were randomly chosen for treatment and two for control.
This was done for an initial batch of 335 firms, allocating 167 to treatment and 168 to control. A batch of 12 additional firms whose details had taken longer to check were then received. These were stratified into three quartets based on score, with firms then randomly assigned to treatment and control within quartet. Finally one last firm was received, and a single random draw used to assign this to treatment. This resulted in 348 firms, with 174 treatment and 174 control. Two duplicates were dropped resulting in a final sample of 346.