Is all the doom-and-gloom about startups in 2024 warranted?
Looking at the data, the unfortunate answer is: yes.
In Pilot.com's dataset, a full 57% of venture-backed startups have fewer than 18 months of runway remaining. The conventional wisdom on fundraising is that you need to start the process with at least six months of runway in the bank, meaning that well over half of these companies will need to fundraise by mid-2024.
On its own, that’s not necessarily a problem. In fact, it’s not dissimilar to what we’ve seen in previous years.But venture investing has ground to a halt. No new capital is coming, and that puts startup founders in a very tough spot.
What can you do about it?
By the numbers, over half of you should be getting nervous right now. You have three options:
Are there other tips you’d give startup founders with less than a year of runway?
Or other slices of the data we should look at?