Tech Startup

Seed-Stage Funding for UK Startups Falls by Over 80%

There has been an 83% fall in seed-stage investment in UK startups between 23rd March and 17th May 2020 compared to the same period in 2019, according to new research by Plexal and Beauhurst.

Overall UK tech startup funding saw a 50% drop year-on-year during the same period, confirming that, although many startups are struggling to raise funds, seed-stage startups have been the hardest hit.

2016 A Record Breaking Year for Europe’s Tech Startups

Europe is expected to hit $13.6 billion in tech investments in 2016, up from $12.6 billion in 2015, as newer technology hubs crop up outside traditional capital centres, according to a report produced by venture capital firm Atomico released at the Slush startup conference in Helsinki this week.

The report suggests Munich, Zurich, Lisbon, Madrid, and Copenhagen will be ones to watch over the coming years. Paris is starting to seriously challenge London and Berlin in terms of the number of VC-financed deals and deal volume.

Startup Recruitment - Sponsorship

It is paramount for startups to hire talented people who want to work hard to build something from the ground up. However, the costs of sourcing and hiring a Developer or Software Engineer in the UK, especially in London, can be high, so many founders end up outsourcing the work to remote contractors based offshore.

Startups can look to India, Spain, China or many remote locations to get a job done but that doesn’t replace an in-house team of permanent hires with a shared vision for the longer term.