Venture capital for startups limited now --- but investment is still happening

(Chris, “How Startups Can Attract Investors And Inspire Confidence When VC Funding Is Slowing,” pg online @ https://www.forbes.com/sites/forbesbusinesscouncil/2023/01/03/how-startups-can-attract-investors-and-inspire-confidence-when-vc-funding-is-slowing/?sh=119bbc5c2be6 //um-ef)

Ask any tech startup executive about today’s investment climate, and you’re likely to be met with a grimace. It’s not what it used to be. A year ago, headlines hyping inflated valuations seemed to imply that fundraising is easy. Companies often weren’t challenged to be capital-efficient or disciplined with their go-to-market strategies, and cash seemed readily available. Fast forward to today, and the landscape has clearly changed. Anecdotally, there’s been a decline in company valuations and a sizeable drop in available funding — many investors, especially in the Series B world and beyond, appear to be sitting tight on their money until valuations come down. The numbers back this up: A recent CB Insights report indicates that in Q3, deal volume dropped across most stages by more than 20% quarter-over-quarter. In addition, median deal size across deal stages dropped by almost 30%, with late-stage deals shrinking by a notable 50%. Still, deals continue to happen. This begs the question: How can startups attract investors and inspire confidence in a period when VC funding is slowing?