Previously today, GGV Capital’s Jeff Richards and Hans Tung signed up with TechCrunch for an Extra Crunch Live session. During our hour-long chat, we touched on start-up success, the global equity capital scene, why GGV does not have a workplace in Europe, how the venture industry is responding to its plain absence of diversity and other problems. This was possibly the most helpful Extra Crunch Live discussion in which I’ve participated when it comes to beneficial bits of details. When we were talking about COVID-19-driven headwinds and tailwinds and how lots of start-ups may be in trouble, one moment that stood out came early in the chat. Richards said the following (emphasis through TechCrunch ):”You know, the something that’s been impressive for me– I remained in Silicon Valley as a business owner in
the’99, 2000 dot-com bubble, and 9/11. I was here in’08, ’09– I think there is a level of resiliency in Silicon Valley that we did not have 10 years earlier and 20 years earlier. I don’t have information to indicate that. However we have actually been saying now for a couple of months that we have actually been blown away at the level of maturity, peace, perseverance [ and] resiliency that our companies and the founders and management groups have. On a psychological level, it’s been very heartwarming, because you hope to back the sort of people that are building genuine business that can withstand obstacles. I believe the corollary to that is you’ve seen companies that raised a ton of money and were burning a lots of cash and weren’t developing great businesses
, a great deal of those frankly went under in Q1 or are going under now. They haven’t been able to raise more money and they’re simply sort of dead.”Both Richards and Tung were positive about their own portfolio business ‘current performance and monetary health(cash position, truly ). However it appears that not only are their portfolios succeeding, however other start-ups are a bit more solid than in previous downturns. On the other side, nevertheless, there is a different cohort of start-ups that were running inefficiently before and are now possibly unfundable. Checking out both points in unison, it appears that the start-up market is bifurcating between the business
that will come out of the COVID-19 period unwounded, and those that are suffering. And the business that weren’t the most cash starving probably have the highest possibility of being in the first container. There’s a lot more to get to. Strike the jump for the complete video and audio, and a few more of the finest bits from the records.(You can snag a cheap Extra Crunch trial here if you need one
.)Oh, and do not forget to keep up to date on coming chats. There’s still a lot to do. The complete chat Here’s the full video rewind. Our favorite littles the transcript follow: 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.