Coronavirus: Startup investors accused of 'horrible behaviour' - Business Insider

Founders and venture capitalists say unscrupulous investors are taking advantage of the uncertainty to renege on deals, adding to their current stresses.

Startups in the US, Europe, and Asia face global recession thanks to the pandemic, and investors have warned that many could go bust. "Venture capitalists see this moment as an opportunity, whereas for founders it's something to survive," the person said. He wrote on Twitter: "Several examples but worst so far is calling a founder to say they're halving the valuation of a signed term sheet... 72 hours after full form legal docs were meant to be signed."Some investors say it is natural for funding behaviour to change. The past few years have seen record amounts of funding raised by venture capital funds, making capital easier to come by for startups.

I backed out of 2 term sheets already (1 in US and in Philippines) . Was only for $325k total but these are extraordinary times.

Lol, we’re past economic reason if founders of VC funded tech startups think that pulling funding because of a force majeure is “reneging.” Lemme guess, these founders are all between like 25-35 years of age!

Oh boohoo. This is the mentality that easy money created. It’s drying up and it’s time for business people to come back to reality.

Belgique Dernières Nouvelles, Belgique Actualités

Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.

How a clothing-rental startup is navigating the coronavirus outbreak - Business InsiderArmoire, a fashion startup for professional women, had its best month ever — then the world started working from home. Here's what it's doing to survive the crisis. Create inspirational spaces when workingathome ✅👇
La source: BusinessInsider - 🏆 729. / 51 Lire la suite »

The coronavirus pandemic may be weakening US retail - Business Insider - Business InsiderWith states and cities closing nonessential stores in response to the coronavirus, retailers may lose the ability to make in-store sales altogether. Ya think lortyvon L’augmentation des taxes est là
La source: BusinessInsider - 🏆 729. / 51 Lire la suite »

Stock market live updates: Dow futures down 400, waiting on Congress, 'limit down' againStocks pointed to declines on Monday as investors await a stimulus package from the coronavirus. That's because the democrats won't make a decision to pass a bill to help the economy, they will be the reason we fall into a great depression, there are so many out here already around where I live that have lost there jobs due to all this, and now we are getting false hopes. Misleading headline.
La source: CNBC - 🏆 12. / 72 Lire la suite »

6 Ways To Protect Your Business During The Coronavirus OutbreakAs a business owner, these are unprecedented times - Here are six ways to ease the burden for everyone involved
La source: Forbes - 🏆 394. / 53 Lire la suite »