Mittwoch, 17. April 2013

Shifts In Seed Funding

A study by  Silicon Legal Strategy analyzed early stage investments between 2010 and 2012.
It found that 46 percent of startups that got their seed funds in 2010 went on to a Series A round by the end of last year, but only 24 percent that got their seed round in 2011 had done the same. This could mean that it is taking longer to get a VC round. But it could also be a sign that a bunch of new companies will be orphaned, as has been predicted in other reports.

Andre Gharakhanian

Our data shows a change in how investors are looking at seed deals

Andre Gharakhanian, founder and partner at Silicon Legal Strategy, said in a prepared statement. "The seed funding environment remains incredibly robust and founders continue to receive favorable economic terms, but market realities are leading investors to ask for slightly more control and better downside protection."