Venture Funds Struggle

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2 days ago

Summary

Aileen Lee discusses the struggles faced by startups due to the recent boom-and-bust cycle. She highlights how companies are losing their champions, struggling to regain their footing, and facing difficulties in finding outside help with exit strategies.

Key Points

Startups are struggling to regain their footing after raising too much money at unsustainable valuations
Many companies have lost the champions who once backed them, making it difficult for new investors to take over
Limited partners hesitate to criticize powerful fund managers for fear of repercussions

Why It Matters

The struggles faced by startups can have significant consequences on the overall economy and the entrepreneurs involved.

Author

Connie Loizos

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