HFA Icon

Venture Financing Deal Volumes Fall As Investors Demand More

HFA Padded
Rupert Hargreaves
Published on
Updated on
Sign up for our E-mail List and Get FREE Access to Exclusive Investment E-books and More!

All good things must come to an end, and it seems as if the venture financing boom, which reached its peak in 2015, has now come spluttering to a halt.

According to research firm PitchBook Data, seed capital raising reached its peak in the first quarter of 2015, when more than 1500 start-ups raised their first rounds of capital. However, over the past two years, it seems venture investors have started to view deals with more scrutiny as valuations have exploded (last year the median valuation of early rounds involving professional investors reached $15 million, more than any other time in the last five years).

As a result, the value of venture money being allocated has plummeted with the...

Login required to continue reading.

Setup a free account to get access to this article (no credit card required).

View Full Article
Already a member? Log in here
HFA Padded

Sign up now and get our in-depth FREE e-books on famous investors like Klarman, Dalio, Schloss, Munger Rupert is a committed value investor and regularly writes and invests following the principles set out by Benjamin Graham. He is the editor and co-owner of Hidden Value Stocks, a quarterly investment newsletter aimed at institutional investors. Rupert owns shares in Berkshire Hathaway. Rupert holds qualifications from the Chartered Institute For Securities & Investment and the CFA Society of the UK. Rupert covers everything value investing for Hedge Fund Alpha