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Will ever startup startups turn to venture during a turning point? – londonbusinessblog.com

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Shreya has been with londonbusinessblog.com for 3 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider londonbusinessblog.com team, Shreya seeks to understand an audience before creating memorable, persuasive copy.

Bootstrapped startups or companies those who use their own earnings or existing cash flow to fund growth rather than relying on outside sources of capital are in a very different category than venture-backed startups. By asset class nature, bootstrap startups prioritize revenue to stay alive, while venture-backed startups prioritize growth to retain investors for future runway needs. Bootstrap companies follow less of an exponential growth curve, while venture capital backed companies should be an outlier.

Enter a downturn and both sides get a little more interesting. The built-in business discipline of startup startups can be particularly resilient to a recession as the overfunded companies announce layoffs. With venture becoming more interested in the stable foundations of the startup group, is it time for the bootstrapper to go big?

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