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Category: shutdowns

Startup funding hit records in Q1. But the outlook for 2025 is still awful.

Startups attracted $91.5 billion in venture capital funding in Q1, according to the latest report from data provider PitchBook. This figure not only exceeds the previous quarter’s allocation by 18.5% but also represents the second-highest quarterly investment in the last decade. Despite this seemingly positive news, Kyle Stanford, lead U.S. venture capital analyst at PitchBook,…

Venture debt lenders will play a big role in fire sales and startup shutdown this year, experts say

When accounting startup Bench abruptly failed last month, the shutdown was forced when the company’s lenders called in the startup’s loan. In late 2023, the digital freight company Convoy faced financial challenges, leading venture lending firm Hercules Capital to assume control of the company to recover its investments. Divvy Homes, which sold for about $1…

Once high-flying proptech startups Divvy Homes and EasyKnock are the latest to struggle

Many proptech startups, born and funded during the low-interest-rate heydays, are in the throes of struggle. With investments into U.S.-based real estate startups falling from $11.1 billion in 2021 to $3.7 billion last year, according to PitchBook data, some are selling themselves off, while others are closing shop. The two most recent examples are the…