Paul Kedrosky highlights some stats from the latest release of VentureOne’s VC funding statistics and reaches the following conclusion:

Get that? First-round valuations, the place where bubbles are born, were flat in the quarter. Nothing changed. It is later rounds where valuations are going up, which can be read as a positive sign: Business are delivering results, and investors are paying up for those results. I’m hard-pressed to see why that’s a bad thing.

As the equity gap is bridged by the three groups (organized angels, innovative VCs, specialization companies) exposing early-stage ventures to previously unavailable resources/benefits/value, later round valuations will continue to trend up.


Return to Top

Bridging the Equity Gap Cont’d

Posted on 09.16.06 to Startup Strategy. Subscribe to follow comments on this post. Add your thoughts or trackback from your own site.

Welcome to the conversation.

Hi, I'm Fraser and this is my personal site where I write about the things I'm interested in: start-up strategy, the web, music, and life.

My days are spent commercializing emerging technologies. Currently I'm helping to deliver the promise of semantic web to the consumer market at AdaptiveBlue. Previously I was at Trivaris, a Canadian seed stage investment firm.

I am a co-founder of Innovation Night, a community driven event supporting entrepreneurship in Canadian and US cities.

Here's what I'm doing right now:

    These are the people in my neighborhood: