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Relating to tech, it's definitely significantly harder to raise series A and beyond then it was a year ago. Seems like a lot of companies aren't getting the nex
by a13n 10y ago
Relating to tech, it's definitely significantly harder to raise series A and beyond then it was a year ago. Seems like a lot of companies aren't getting the next round they were expecting to and as a result there's been a focus on building profitable businesses rather than investing hard in just user growth (eg. snapchat).
You can see this trend by the significant uptick in acquisitions and layoffs lately... If founders can't raise they have to look for an exit or downsize.
Feels like the market is still pretty spooked from oil and China in Q1 and then Brexit in Q2. Will be interesting to see what happens next!
- mratzloff 10y agoThis is true. Also uncertainty around the US election.
- peburrows 10y agoHow very unfortunate that they must now focus on "building profitable businesses". You know, there was a time when that was the very point of running a business.
- disc 10y agoAgreed, though it wasn't very long ago that growth was valued much higher than profitability. Maybe our opinion is (slowly) evolving? Perhaps growth-by-all-means is a perfectly valid play in an extremely network-effected market, while other markets might be better served by focusing on profitability?
- kesselvon 10y agoMaybe they're realizing that growth doesn't always translate into profitability. See twitter for example