How tough is it to get VC financing?

Venrock partner Brian Ascher says his firm is still placing money; but the bar is raised It's definitely a buyer's market today, whether the asset class is a house, a stock, or a startup. "Right now, folks are a bit paralyzed, taking a wait-and-see attitude to how it shakes out" said Brian Ascher, venture capitalist at Silicon Valley venture firm Venrock. Ascher doesn't see entire firms shutting down, much like what happened during the 2000/2001 bubble burst, but VC firms will be far more selective and prudent. VCs are looking to fund companies with credible business models vs. companies with "build-it-and-they'll-come-and-we'll-figure-it-out-later" models. "As the bar gets raised," he said. "There are fewer companies that pass through that filter."What's more, it's difficult to fund new ventures, when existing portfolio companies may be in need of a lifeline. ... [ Read more ]

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Vator TV | December 1, 2008

Tags:. .lifeline. .vcs. .paralyzed. .prudent. .capitalist