Startup Funding

How Are Startup Investors Reacting to the Coronavirus Economy?

The Coronavirus has sent the stock market into a wild ride of 1000-point swings every day.

In talking with investors, I find the following:

Early-stage investors continue to move forward with their investment plans. Later-stage investors are putting their investments on hold to see how the economy sorts out.

Funds which have already raised their capital continue to do business as usual.

Many investors are shifting their attention to their portfolio companies as a first step to ensure they have access to capital.

Other investors are moving their investments into the higher-quality deals with stronger traction.

Valuations are starting to come down with some investors moving aggressively into the market as they see it as a strong buying opportunity.

Lenders are in the market as always, with their same criteria.

Investors look for startups that are finding a new growth story in the Coronavirus economy and will prioritize those investments.

Recent blog

5 min read Regulatory Pathway Analysis AI is Becoming the Regulatory Expert Every Venture Firm Needs For decades, regulatory expertise has been …

5 min read AI as a Domain Knowledge Expert: Scientific Thesis Validation For decades, deep technology investing has revolved around one fundamental …

6 min read The Missing Slide in Most Pitch Decks: Mapping the Customer Journey to Prove Market Demand Most startup pitch decks …

7 min read Portfolio Construction for Angel Investors: Building Your First 10 Deals Angel investing is often romanticized as a series of …

Site Map

Scroll to Top