Arzu Tekir’s Post

Raising #capital is one of the biggest hurdles for #startups. Founders need funds to grow but often want to avoid giving away too much ownership or dealing with complex debt. One flexible, founder-friendly solution is the Simple Agreement for Future Equity (SAFE). Initially introduced by Y Combinator in 2013, #SAFEs provide a straightforward way for startups to raise funds without immediate valuation discussions or diluting ownership right away. Check out our blog where we break down how #SAFE works, its key variations, and some examples of each: https://lnkd.in/euxqsVy9

It’s not too late to close a VC round! As we approach the end of the year, many founders and operators may wonder if it’s too late to finalize their fundraising efforts. The data says otherwise. According to Carta’s analysis of 38,000+ venture deals from 2018–2023, December has consistently been one of the strongest months for VC deals being signed—peaking in 2020 at 13.5% of the year’s total deal volume. Why is December such a strong month for closing? 📌 Deals negotiated in October and November typically reach final agreements in December. 📌 Many funds are eager to deploy capital before the year ends. 📌 Founders and investors are motivated to tie up loose ends before the holidays. Key takeaway: If you’re negotiating a round, keep pushing! There's still time to lock in a deal before 2024 rolls around. Curious—are you finding VC decision-making to be slower or faster as we near the end of Q4? Let me know your experience in the comments! #VentureCapital #Fundraising #Startups #FractionalCFO

What VCs are leading rounds? An hour ago I had a quick chat with a founder that is raising capital now. He mentioned that he has a few committments but nobody wishes to lead the round. "Nobody wants to lead these days." That is true, and I see it all across the board with early funds and also funds that has been in the market for some time. Everyone, are shying away from leading investment rounds. To help founders, who are the funds you know that are leading rounds, or co-lead rounds - early, growth, CVCs? Let's go! #venturecapital #fundraising #investments #money #privatecapital #equity #startups #founders #entrepreneurs

Quick Observations: 🔍 Investors More Cautious Investors are taking more time to deploy capital. 💰 Dry Powder Still in Play Despite the slower pace, there’s a significant amount of dry powder in investment vehicles, waiting for the right opportunities. 🚀 Rising Competition With more businesses vying for capital, the competition has never been fiercer. 📈 Silver Lining Opportunity to sharpen your metrics and strengthen your value proposition—better positioning your business when the time comes.

Really good insights on the current fundraising environment.

According to entities like PitchBook and CB Insights Private Wealth is becoming a lifeline for startups. The private wealth sector is on track to deploy some $7 trillion to private markets by 2033. Why is this important? - According to macro data trends, fewer VC funds will establish vintages in 2025 due to an emphasis on GP due diligence in a tougher market post-COVID overvaluation. Limited Partners are hesitant to deploy dry powder - Portfolios ranging from $5 million to $100 million have established a robust and “durable” fundraising pipeline. Since 2019, more than 200 funds targeting private wealth have been launched, collectively managing nearly $400 billion today. The influx of High-Net-Worth Individuals to micro funds has counteracted the need for track records in Emerging Managers. #privatewealth #LP #limitedpartner #fundraising #venturecapital #startups

Capital Investment is slowing down.... Why? I believe it's due to the vast amount of metrics and information that is readily available these days. Through the use of data mining and collection, VCs are now having the ability to analyze a deal further and make adjustments. Especially, if the deal involves a StartUp with huge risk factors. So, I don't think investments themselves are slowing down, but I deeply think the process is becoming more time consuming and more in depth causing a slow down in overall process execution.

Here is an interesting set of data on the speed of capital deployment by VC funds. Unsurprisingly, we see a slower speed in recent years affecting 2021 and 2022 vintage. Thank you Peter Walker for sharing. Did you appreciate this post? Would you like to see more? Like this post Follow Hugues Hallot 🔔 Ring it on my Profile 🔝 Connect with me #VC #data #investments

It’s BOD & AGM season. After 9 BOD meetings and 7 AGMs there is a common theme. “Generally” Emerging Fund 1&2 managers w/o firm building experience; and Founders/ELTs who raised pre-seed generalist and family office party rounds at Seed or crossover/hedge fund capital at Series A. Same general dynamic… experience matters. #venturecapital #emergingmanagers #startups #familyoffices #lps

There are more than 1,300 VC-backed #startups valued at over $500M in the US. Just 40 of them exited last year - at that pace, it would take 30 years for the portfolios to be emptied! Liquidity is a key hurdle for VCs when raising new funds. #VC distributions as a share of net asset value are at 6.5%, an all-time low and significantly below the average of 18%. The lack of liquidity has naturally slowed VC investment pace and startups have adapted to this new reality by slowing spending and fundraising. The median time between startup fundraising rounds has risen sharply across stages, with most companies adding about 6 months to their fundraising cycle. We need to see an uptick in strong #exit outcomes in 2025 - through either acquisitions or IPOs. If that doesn't happen, we'll likely be in for a difficult period of startup shutdowns.