Venture capital funds invest in fast-growing, early-stage companies, in ‘sexy’ industries like high tech, biotech, or green energy.

Investment banks chase larger, more mature companies in those same industries, as potential IPO’s or M&A sellers.

Private equity funds seek out similarly large, mature properties, though in ‘stodgier’ industries, often where hard assets work as collateral for lower cost secured debt.

Who invests in early-stage companies in those stodgy industries?

It turns out, nobody.

Consider this: while LBO firms were quick to pounce on Hertz (in one of the industry’s largest deals ever), Zipcar (founded in 2000, just filed for IPO) was unable to raise VC dollars for its first six years (until Benchmark led a $10m round in 2006).

[Target, locked](http://www.self-aggrandizement.com/archives/101510_the_old_new_new_thing.html).