Eric Lam’s Post

Will your seed-stage startup make it to Series A? Let's dig into data from 5,418 US startups using Carta. Each cohort in the chart refers to companies that raised their priced equity seed round in that year (2018, 2019, or 2020). Then we just looked at the most recent funding round for each company. How far have they gotten? For seed-stage in 2018 (so 4.5-5.5 years): • 47% have not raised another round (meaning 53% made it past seed) • 6% have made it to Series C or beyond! Seed-stage in 2019 (3.5-4.5 years): • 50% have not made it past seed Seed-stage in 2020 (2.5-3.5 years): • 56% have not made it past seed Important to note that this data does NOT look at whether the underlying companies are still in business. This is not an analysis of failure rate, simply of funding progression. So big takeaway: looks like for these 3 years, you could reasonably assume about 50% of companies would end up raising at least a Series A if they had already raised a priced equity seed round. Is that...above expectations? Perhaps slightly, given some other studies. Perhaps companies using Carta have a slight bias towards further funding in some way. Will this percentage hold for companies that raised in 2021 or early last year, given macro changes to the funding environment? My bet is the percent making it to Series A might be a little lower. And of course, the funnel only gets narrower as the alphabet stages rise. Only about 1 in 5 of the 2018 cohort has hit Series B so far. Startups are not for the faint of heart! But salute to the founders out there making it happen. #cartadata #SeriesA #seedround #startups #fundraising #venturecapital  

Startup funding up 15% in September as late-stage deals make comeback 📢 Funding to India’s startups was up 15 percent in September from a year earlier as late-stage deals staged a comeback, indicating signs of some green shoots ahead in what would bring some cheer to the world’s third-largest startup ecosystem. 📣 Startups raised close to a billion dollars in September this year across 41 deals, up from $858 million raised across 91 deals in the same month of last year, data compiled by Venture Intelligence showed. The month also saw three deals of more than $100 million each, which propelled the deal amount to close to $1 billion. 🔔 Perfios Software, a Business-to-Business (B2B) software provider for financial institutions raised $229 million in its Series D funding round from private equity firm Kedaara Capital through a combination of a primary fund raise and a secondary sale, in what was September’s largest funding round. Source Of Information: https://lnkd.in/gHWt8njy #scoopearth, #business, #startup, #news, #funding, #software, #sales

Indian startups raised $138.04 Mn across 15 deals, a nearly 22% drop from the $176 Mn raised via 16 deals in the preceding week👇 Key Startup Funding Highlights Of The Week: 🔸 Fintech startup Dezerv scored the biggest cheque this week, bagging $32 Mn in its Series B funding round from investors Premji Invest, Elevation Capital, Matrix Partners, and Accel Partners. 🔸 Propelled by hefty funds secured by Infra.Market and GOAT Brand Labs, ecommerce emerged as the investor favourite sector this week. Startups in the space cumulatively raised $49.3 Mn via five deals. 🔸 From a sectoral funding lens, fintech trailed ecommerce this week. Fintech startups managed to pocket $34.6 Mn via two deals this week. 🔸 Seed funding jumped 173% this week to $8.33 Mn from last week’s $3.05 Mn this week. #startup #fundraising #growth

THE RISE AND FALL OF PROMISING STARTUP BLUE LEARN. Bluelearn, a social learning platform, has shut down due to difficulties in rapid growth. The three-year-old startup, based in Bengaluru, will return 70% of its $4 million funding to investors including Elevation Capital and Lightspeed. Despite reaching over 250,000 members and aiding thousands of students, the venture-scale business model proved challenging. Co-founder Harish Uthayakumar emphasized their conservative capital approach, allowing substantial returns to investors. This closure adds to the growing list of Indian startups shutting down in 2024. #StartupLessons #EdTech #InvestorReturns #BusinessClosure #Entrepreneurship #LearningFromFailure

Indian startups cumulatively bagged $196.47 Mn across 17 deals, a 75% decline from $800.5 Mn raised across 21 deals in the preceding week 👇 However, it would be unfair to say that funding trends plunged drastically this week. Of the $800.5 Mn secured last week, around $665 Mn was raised by quick commerce unicorn Zepto alone. Hence, the rest of the startup ecosystem only saw $135.5 Mn capital infusion in the week. Key Startup Funding Highlights Of The Week: 🔸 The week’s largest funding round saw NBFC Northern Arc bagging a debt funding of $75 Mn from FMO. On the back of this, fintech emerged as the investors’ favourite this week. Startup’s in the space cumulatively raised $77.4 Mn across three deals. 🔸 The highest number of deals materialised for ecommerce startups this week as players in the space raised $48.3 Mn via five deals. 🔸 However, seed funding dipped this week by 69% to $6.9 from last week’s $22.7 Mn. #startups #fundraising #growth

Have been saying for a little while, the B2B SAAS market is going to be tough for startups. As with consumers, the first thing businesses will do when looking to cut costs is consider if all those fancy subscriptions are needed. What used to be done in Excel, can be again. Yes you may lose some collab tools, some nice UI and some more advanced features but the original result can be achieved without spending thousands on a per-user pricing model which has recently spiked after pandemic hiring.

More data on the rate of progression of companies from Seed to Series A and beyond. Will be interesting to see how this changed for 2021/22 cohorts. #startups #innovation #vc

Indian startups cumulatively raised $220.2 Mn across 21 deals, a 30% decline from last week’s $316.4 Mn secured in 23 deals 💸 👇 Key Startup Funding Highlights Of The Week: 🔸 Despite the muted funding trends in the week, one mega deal materialised in the week for SaaS startup Atlan. The data collaboration software provider bagged $105 Mn in its Series C funding round, co-led by GIC and Meritech Capital. The round also saw Atlan’s post-money valuation climbing to $750 Mn. 🔸 Buoyed by Atlan’s mega funding, enterprisetech rose to dominate funding trends at a sectoral level. Startups in the space raised $113.2 Mn across 5 deals, the greatest number of deals secured at a sectoral level. 🔸 Peak XV Partners, Endiya Partners, Nitin Gupta, and Inflection Point Ventures were the most active investors this week, backing 2 startups a piece. 🔸 Seed funding continued to tumble down this week, with startups at this stage securing $8.4 Mn this week. This is a 32% decline from last week’s $12.3 Mn. #fundraising #startups #investment

Indian startups raised $196.47 Mn across 17 deals this week, a sharp drop from last week's $800.5 Mn, mainly due to Zepto's $665 Mn round. Fintech led with $77.4 Mn, while e-commerce snagged $48.3 Mn across five deals. Seed funding took a 69% tumble to $6.9 Mn. Despite the dip, our startup ecosystem shows resilience, proving that innovation thrives even without the unicorn fairy dust. #StartupFunding #Zepto #startups

Due diligence in seeking financial investment opportunity is essential for both investors and founders. Try integrating AI in your due diligence via future-engine.net #data #AI #duediligence #futureenginenet