In Don Rainey‘s post on VentureBeat on Mar 16th, He mentions a few things to expect in VC market in 2010;
- Companies starved of fund-raising during the after-2008-financial-crisis flock to fund-raising events
- VC’s are same. VC’s are running to fund-raising events
- Out-of-cash companies will have less negotiation power in fund-raising
- Raise only the amount needed
- Stay with existing investors
- Look for investors that have complementary portfolio companies, which heighten the chances of an exit via merger or acquisition.
- VCs, in the meantime, need to look forward, not back.