Valuations are at record highs, thanks to strong IPO exits, broader economic recovery, and growing participation by nontraditional investors. Don’t sell yourself short—your company may well be worth far more than your balance sheet would indicate.
Here’s another example of how individual investors in the online equity market (such as Reg A+) use different criteria than traditional VCs. It’s an unwritten rule that VCs don’t want to see more than 2 or 3 founders. But individual startup investors don’t seem to be bothered by that.
U.S. startups founded solely by females raised just $3.2 billion in 2020, a billion less than the previous year. This isn’t for lack of trying — there wasn’t a downturn in the numbers of female founders pitching for funding.
If you were hoping for a SPAC deal to come along to fund your startup, don’t hold your breath. One seemingly small change in accounting guidance from the SEC has triggered an almost complete shutdown of the enthusiasm for SPACs.
One of the key drivers shaping the industry: new financing structures are emerging as viable options. The traditional angel/VC route is no longer the only option for the substantial capital raises needed for R&D and clinical trials.