|
|
Article: Seeking venture capital? Investors want fundamentals. (Entrepreneur's Notebook).
- Article from:
- Los Angeles Business Journal
- Article date:
- June 16, 2003
- Author:
CopyrightCOPYRIGHT 2003 CBJ, L.P. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
|
'THIS is the nuclear winter of venture capital."
That lament, popularized by Southern California venture capitalist Bill Stensrud, expressed the despair of entrepreneurs and VCs alike as they watched U.S. venture and private equity investment plummet to $36 billion in 2002 from $144 billion in 2000, according to Venture Economics. Some VCs even began giving back uninvested funds.
Is it a "nuclear winter?" Maybe so, if you're a VC whose funders want their money back. But if you're an entrepreneur who needs to raise equity, you're better served by recognizing it's always nuclear winter.
Before turning to suggestions for thriving in the harsh ...