Startup Funding Challenges
According to a new report by ScaleWise, only 2% of startups make it from Seed to Series A, a significant drop from 8% over the past 18 months, based on Crunchbase data.
The report, Bridging the Gap: The Graduation Crisis in Early-Stage Start-ups, identifies weak go-to-market strategies, poor hiring decisions, and inflated views of Product-Market Fit as key reasons for the slowdown.
Many founders are struggling to convert their strategy into repeatable, structured action that investors trust.
ScaleWise surveyed 100 startup and scale-up leaders to understand the challenges faced by young businesses in progressing through funding rounds, concluding that the issue is not ambition but execution.
Author's summary: Startups face significant challenges in progressing from Seed to Series A.
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