“After Rocky Year for Start-Ups, Investors Are Pickier” via The New York Times
While I understand what David Lee of SV Angels is trying to say, hasn’t this always been the case? The challenge has always been in scaling a startup to a size where the investment potential can be realized. It is true that launching a tech startup has never been easier and the volume of apps and websites has significantly expanded. However, there is a lot of rubbish out there that quickly falls away. For those startups left standing, even with boatloads of VC funding, it is a huge challenge to find the right model to lock in on sustainable growth at a rate that justifies the valuation.