For startups, the silver lining to funding cloud
SummaryVenture capital funding to Indian startups tumbled 40% in the June quarter and the drop is across the board. However, by making them focus on efficiency and costs, this funding winter will help startups come out better on the other side
When the pandemic began, startups were bracing for the worst. They believed markets would shrink and funding would dry up. The opposite happened. The pandemic opened new opportunities for growth, as businesses and consumers adopted digital. By March 2022, venture capital (VC) funds had invested over $10 billion each in three consecutive quarters. The only thing in short supply was talent, as startups absorbed employees, inflating salaries and perks.