Startups, COVID-19 and Venture Capital

Many companies we work with are startups. A very recent survey by NfX shows founders are very worried, the main issues being venture capital drying up and sales declining:

Apart from cost saving actions, it’s interesting many founders are pivoting their product:

Talking to customers, we have seen an increase in the use of beacon technology in health (e.g. calling for help) and logistics (e.g. supermarket asset tracking). The use of technology and IT has the potential to reduce human effort, minimise human to human contact and provide for SOS solutions. Read our recent post on SOS type applications.

Founders are finding many VCs (41.9%) are taking much longer to respond and 15.5% of VC have gone ‘dark’:

All is not lost. Kanso have an Investor COVID19 spreadsheet that lists investors the status of European investors. Many are still accepting pitches and investing.