Notebook

Statistics on fraudulent environmental claims, sources of capital and companies started with family members.

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It may seem as if half the products introduced these days are positioned as environmentally correct. But overzealous marketers are being targeted by attorneys general across the country. Last fall a diaper company was forced to drop the word biodegradable from its packaging after an investigation by a task force of 10 state AGs; it was the first such settlement since inquiries began in late 1989.

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Seed Capital Sources For High-Tech Companies

Family, friends 79%

Private investors 7

Venture capitalists 5

Public offerings, banks, 9

corporations, other

The most successful entrepreneurs, however -- those whose companies grow the most quickly -- initially had money from venture capitalists and angels. So says MIT's Edward Roberts, who looked at 600 high-tech firms for his forthcoming book Entrepreneurs in High Technology.

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Increasing numbers of people want to start companies with a family member -- a sister, a parent, an in-law. So says Judith Langer, whose New York City firm, Langer Associates, conducts focus groups. Her hypothesis? Single people pouring their time and energy into new businesses think that having a familial partner can help emotionally.

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