Startups have never had it so good

This post is by Anna Heim from Fundings & Exits – TechCrunch

The venture capital market is racing ahead, foot on the gas, middle finger out the window, hair on fire. That’s our read of the Q2 2021 data released thus far concerning how much money venture capitalists deployed around the world during the second three months of the year.

Startups have never had it this good when it comes to accessing private-market funds.

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The second quarter of 2021 was the biggest quarter for venture capital activity ever, measured by dollars invested. The wave of funding led to a quarterly record of new unicorns — startups that reach the $1 billion valuation threshold — born in the United States, Asia, Europe and Canada, according to CB Insights data reviewed by The Exchange.

Data from FactSet concerning the quarter agrees. The second quarter was a record-breaker in terms of dollars invested, even if total deal volume eased some from the first quarter’s tally.

The impact of the deluge of capital is what you’d expect: Round values are rising. Deals worth $100 million are setting records. And around the world, technology hubs are enjoying a flurry of high-priced deals that are enriching startups and providing them with capital at earlier stages that used to be reserved for IPOs and other seminal funding events.

So today we’re talking through the numbers. Next week, we’ll publish a host of geography-focused notes and reactions from investors (Read more…)