Are Israel's Start-ups Poised to Suffer the Same Financing Gap as Their California Peers?

Just like in Silicon Valley, the vibrant entrepreneurial scene in Israel is also driven by the desire to get companies off the ground quickly and cheaply and sell them, preferably for top price.

Two talented go-getters, a good idea, and a $60,000 investment were all that was needed to turn Instagram into a billion-dollar company within a year and a...