The task of an early-stage startup founder is challenging in great times, never ever mind a crash like the one we are experiencing today.
While most expect personal investing to decrease, it’s clear that some investments are still occurring in spite of the pandemic, if the stories we are writing on TechCrunch are any indication.
However the downturn is bound to have an influence on the kinds of offers that receive funding; any startup that offers a good or service requiring human interaction or installation will deal with an uphill struggle, at least in the short-term. That said, business SaaS suppliers, especially ones that solve hard issues, help with work-from-home or cooperation, or better yet, help increase effectiveness and save money, are still very much in demand.
Nobody can do anything about the CIO who is hunkering down up until things improve– however that’s not everyone. Business may be hesitating about where they spend money, but some are still assisting drive the net-new, post-COVID-19 investments taking place from seed to late stage across numerous sectors. We looked at information and spoke with a couple of enterprise-focused, NYC-based seed financiers to better comprehend their investing cadence. No one painted a rosy photo of today’s climate, however seed financiers were never about immediate satisfaction, particularly where business startups are concerned. That suggests, if a seed-stage financier believes in the founders and their vision and the business can ride out today’s financial upset, there’s still cash in the till– at least for now.
Seed investment generally in decline
Article curated by RJ Shara from Source. RJ Shara is a Bay Area Radio Host (Radio Jockey) who talks about the startup ecosystem – entrepreneurs, investments, policies and more on her show The Silicon Dreams. The show streams on Radio Zindagi 1170AM on Mondays from 3.30 PM to 4 PM.