Has The VC Market Hit Bottom?

Venture Capital

from the maybe,-maybe-not dept

The latest venture capital study seems to have turned up mixed results. There seems to be some evidence that the drop in VC funding is bottoming out, but it’s not all good news. In Silicon Valley (where a large percentage of VC money goes), funding was at its lowest rate in five years, though more early stage companies were funded. I would think, at this point, it makes much more sense to invest in early stage companies that can be nurtured along until the market recovers. Of course, I still think that plenty of companies should figure out how to (what a concept!) actually make money without requiring huge multi-million dollar investments from VCs. The VC situation may be region specific, as VC investments in the Washington DC area actually went up last quarter, though they’re obviously still way below the levels during the boom years.