Why founders and VCs keep funding deals quiet — more often than you realise
A new report claims up to 50% of funding deals in the fintech sector, worth $684 million, were not announced or publicly reported on last year. And a few different factors are behind it.
The venture capital funding announcement has become a startup rite of passage. Find a willing media outlet, send them your new funding details, ideally with a photo (in front of a graffiti wall?) and the rest takes care of itself...
But as it turns out, a number of venture capital investments never get publicly announced, for a variety of reasons. And if the media doesn't find out about them through their own means, they simply go unreported.
Most in the ecosystem knew this, but the extent to which VC funding deals are kept quiet has never really been quantified up until now.
A new report by Techboard, focusing on the fintech sector, claims that more than 50% of capital raises in the space went unannounced in 2023.
