This past month I’ve probably had some version of the following conversation a half dozen times: Founder: I need to figure out whether to raise more now or to wait until next year when hopefully market conditions pick up. My existing investors have told me I can take more money from them at the last round price, but I don’t know whether or not to be insulted by that. We’ve grown the business a ton since last year, a flat valuation makes me feel like we’re getting zero credit for all that work.
Great article Patrick. Honest with historical perspective and the data. While I am sure this may be hard news to hear, it is important to have perspectives for both venture leaders and investors.