9 months ago

VC Funding Deals: Early Stage Falls, Late Stage Shows Resilience

VC Funding Deals: Early Stage Falls, Late Stage Shows Resilience
Early-stage VC funding deals fall as growth and late stages show resilience: GlobalData · thehindubusinessline.com

Imagine people who give money to new companies to help them grow, called venture capitalists or VCs.

In the first nine months of 2025, there were fewer deals where they gave money to very new companies, like those just starting out (called early-stage).

It's like they are being more careful about who they help first.

However, they gave more money to companies that were already a bit bigger and doing well (called growth and late-stage companies).

This means investors are looking more closely at companies that have already proven they can make money and have a clear plan for the future.

They seem to be picking fewer, stronger companies instead of spreading their money around to many new ones.

This change is happening because the world's economy has been a bit uncertain, and investors want to be extra sure their money is well-spent.

Key facts

Total VC Deals (Q1-Q3 2025)
7,666
Total VC Deals (Q1-Q3 2024)
7,807
Early-Stage Deals (Q1-Q3 2025)
5,871
Growth/Late-Stage Deals (Q1-Q3 2025)
1,795
Overall VC Deal Volume Change (Q1-Q3 2025 vs 2024)
-2%
Early-Stage Deal Volume Change (Q1-Q3 2025 vs 2024)
-3%
Growth/Late-Stage Deal Volume Change (Q1-Q3 2025 vs 2024)
+4%

Quotes

Aurojyoti Bose

Lead Analyst at GlobalData

“This trend suggests that while early-stage startups may be struggling to secure funding, relatively more established companies are still attracting investor interest. Investors appear to be prioritising quality over quantity, focusing on companies with solid fundamentals and clear paths to profitability.”
thehindubusinessline.com
“While overall VC activity has slightly declined, the shift toward growth-stage resilience signals a maturing investment mindset that prizes demonstrable metrics. This shift in strategy may be a response to the economic uncertainties that have characterized the global market in recent years.”
thehindubusinessline.com

Sources

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