Q2 PitchBook-NVCA Venture Monitor shows continued market tightening
Raising capital is now markedly more difficult even at the seed stage, where quarterly deal value declined 26.3 percent from the prior quarter.
The Q2 edition of the PitchBook-NVCA Venture Monitor has been released, and it shows how investors and founders are reshuffling their priorities to buy time and identify high-impact innovations as the market tightens further.
Among the takeaways are these:
- Raising capital is now markedly more difficult even at the seed stage, where quarterly deal value declined 26.3 percent from the prior quarter;
- Trapped capital continues to build in mature start-ups with just $12 billion of exit value realized in the first half of the year, and Q2 deal value coming in at a decade low; and
- There are now 50,000 venture capital-backed companies, double 2016 levels, demonstrating the risks of a prolonged capital shortage.
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