Since the collapse of Silicon Valley Bank (SVB), worries persist about where the value will land to service startups financially. SingleStore CEO Raj Verma joins Yahoo Finance to discuss the collapse of SVB and its impact on the present state of venture capital.
Verma explains that the emphasis on “growth at any cost” has subsided: “I think investors are looking for a leveraged growth model and I think the companies are resulting to working on profitable growth, et cetera. So that’s a big change in the Valley––or globally, I would say in the past 12 months. I do think that there isn’t a dearth in capital. However, only the good companies are being able to raise capital versus the scenario in 2021 where even a mediocre company can probably raise capital. So for sure it’s harder to raise capital now than it was probably 18 months ago.”
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Editor’s note: This article was written by Nicholas Jacobino
