1. The future of funding
20th January 2015

2. A G E N D A
• Trends in startup financing
– Costs
– Improved risk management
• Government involvement
• Impact on the venture industry

5. O P E N S O U R C E S O F T W A R E D R I V E S
D O W N C O S T S

6. L O W E R C O S T S E N A B L E I M P R O V E D
R I S K M A N A G E M E N T

7. I M P R O V E D C A P I T A L E F F I C I E N C Y
Source: Tomasz Tunguz

8. Series A median valuations
(USD millions)
Source: Cooley LLP via Tomasz Tunguz, August 2014
I N C R E A S E D S E R I E S A V A L U A T I O N S

10. R A T E O F C H A N G E I S I N C R E A S I N G

11. O N L Y S T A R T U P S C A N I N N O V A T E
F A S T E N O U G H

12. UK
Europe
G O V E R N M E N T S S U P P O R T
S T A R T U P S

13. Venture
Industry

14. D E A L V O L U M E H A S E X P L O D E D

15. T O P A C C E L E R A T O R P R O G R A M M E S

16. C R O W D F U N D I N G P L A T F O R M S
Equity Product

17. B A R B E L L R E T U R N S
Early Stage Late Stage

18. P O W E R M O V I N G T O C O M P A N I E S
Lower cash requirement More potential investors=

19. I N V E S T O R S A D D M O R E V A L U E . .

20. … F O C U S O N S E C T O R S …

21. … A N D I M P R O V E T H E I R M A R K E T I N G

22. G R E AT
T E AM / P R O V E N
M E T H O D S
O F F I C E S P AC EF U N D S
Office Hours – 6th February#FPLive – 21st January
@ForwardPrt forwardpartners.com/blog
www.theequitykicker.cominstagram.com/forwardpartners

23. S U M M A R Y
• Declining startup costs means lower capital
requirements
• Which gives entrepreneurs more power
• Leading to increasing importance of
– Value add
– Investor sales and marketing
• Making investors service providers to
entrepreneurs
• Interesting question now is what should you
bundle with capital