Keynote + Q&A How to Fundraise in a Bear Market

TL;DR

Investor insights on market trends, valuations, and funding strategies in the current financial climate.

Transcript

hi everyone thanks for joining my presentation today and thanks for for having me on Startup grind a quick intro on me I stepped you my partner at a fun called Portage we are a fintech focused Venture fund I'm based in New York and we invest in the future of financial services if we if we go to the next slide here we can see a selection of my portf... Read More

Key Insights

• 🤝 Market overview shows a decline in both funding numbers and deal volume in 2022.
• 👨‍💼 Valuations are impacted, indicating a shift towards business fundamentals and capital efficiency.
• 🔠 Dry powder estimates suggest VC readiness but hidden dynamics may affect actual available capital.
• 👨‍💼 Investor conversations emphasize a return to basics and a focus on sustainable business models.
• 🌱 Founders advised to plan for longer fundraising timelines amidst market uncertainty.
• 🥹 Evergreen sectors, counter-cyclical industries, and crypto/blockchain hold promising investment potential.
• ❓ Focus on talent acquisition and pragmatic valuation expectations are recommended for Founders.

Questions & Answers

Q: What sectors are currently favored by investors in this challenging market?

Investors are leaning towards Evergreen sectors like B2B SAS, insurance, and counter-cyclical industries to navigate the uncertain market environment.

Q: How does the VC view the future of the crypto and blockchain market?

The VC expresses bullish sentiments towards crypto and blockchain, predicting transformative impacts in the long term but acknowledging the volatile journey ahead in the next decade.

Q: What strategies are recommended for Founders seeking funding in the current market?

Founders are advised to plan for longer fundraising timelines, engage multiple investors, set reasonable valuation expectations, prioritize focus, and capitalize on talent acquisition opportunities.

Q: How do business fundamentals play a crucial role in attracting VC investment in the current market?

VC focus on gross margins, customer acquisition costs, sales efficiency, and capital efficiency highlights the importance of solid business fundamentals to secure funding in the current financial climate.

Summary & Key Takeaways

• VC presents market overview, funding statistics showing decline in 2022.

• Emphasis on valuation impact, IPO market, dry powder estimates, and investor dynamics.

• Practical advice for Founders in a market demanding focus, prioritization, and patience.