The Emperor without clothes — Why might VCs not deliver expected returns?

In the ever-evolving venture capital landscape, it’s crucial to address some of the key challenges that may hinder VC funds from delivering expected returns.

Pierre F. Suhrcke’s recent piece delves into this issue, shedding light on the need for a more strategic and sustainable approach in the VC world.

As Pierre articulates, “Overvaluation of startups is a significant concern. The race to invest in the next ‘unicorn’ often leads to inflated valuations, creating unrealistic growth expectations and potential tension between VCs and entrepreneurs. It’s essential to ground valuations in reality to build sustainable businesses.”

At TempoCap, we advocate for a disciplined and principled approach in venture capital. We believe in providing meaningful post-investment support, allowing our portfolio companies to navigate challenges and build resilience for strategic decisions. In this way, we aim to deliver value and good performance for our LPs.

Read more: Tech.EU

Source: Tech.EU