America's startup ecosystem seems to be getting back on track after a lengthy period of slowdown, with the Bloomberg U.S. Startups Barometer, an indicator of the overall health of U.S. startups, climbing for the first time since 2015 amid spikes in funding and in the number of exits.
Last week, the barometer rose 0.58 percent from the same period of 2016, boosted by a surge in initial public offerings, such as the exits of Snap and MuleSoft, but also by private companies such as Airbnb and WeWork which continue to attract massive funding rounds. Scott Raney, a partner at Redpoint Ventures, believes there will be some 30 to 35 venture-backed IPOs this year, way more compared with 2016, even though the number of deals and the number of startups raising money for the first time are still on the decline.
Raney also underlined the fact that an increasing number of startups raise more money in later stages of their life, an interesting trend he attributed to the extremely ambitious nature of these companies and their tendency to engage in very difficult or near-impossible things.
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