How much can venture capital tell you about a startup ecosystem?
There has been lots of online discussion in recent months regarding the relevance and longevity of traditional VC models, and, the risk-assessment in newer forms and trends in VC.
Taking everything with a “pinch of salt”, we do celebrate when individual Israeli startups close rounds of funding. We love the job creation, the stories, the exciting challenges and the company successes.
That said, we are generally cautious when we see waves of VC rounds closing. We are sensitive towards money being raised in ways and for reasons sensitive towards a sustainable and healthy economy, business ecosystem and culture.
In retrospect, 2019 was a healthy, record breaking and positive year of raising standards and pushing up benchmarks in this regard – over $8.3 billion raised in total. The amount of revenue generated from the 100’s of companies being funded to innovate cutting-edge technology was phenomenal. Further, the amount of foreign investments into Israeli startups, IPOs and M&As all points towards Israel having healthy free-markets.
This is why we are so excited that in January 2020 – a month usually slow with business and VC announcements – was outstanding.
OVER $800 MILLION WAS RAISED BY ISRAELI STARTUPS LAST MONTH.
Three Israeli tech companies raised money at valuations exceeding $1 billion, making them unicorns (startups exceeding the $1bn valuation mark).
One of these unicorns is coming to South Africa this month.
We look forward to showing South Africa the amazing innovation making these headlines. Please be in touch with us to find out more or to meet with our incoming companies!