Venture valuations have seen significant upward movement in recent years, creating unrest throughout the industry that some feel is overvalued. The paper gains that investors are able to show limited partners are impressive, but a valuation is only important when it turns into realized returns.
In large part, valuations have continued their growth through 2016. Early-stage valuations have reached decade highs, but a plateau has begun to form. Companies looking to exit may feel the pain if private valuations are unable to transfer into grand exit sums.
The 2016 Annual VC Valuations Report looks at the data surrounding the valuation boom dissecting the datasets to find out where the growth is coming from and analyzing details that show which way valuations will go next.
The median seed valuation increased by 87% since 2010, hitting $8 million last year
The median Series C valuation surpassed $100 million in 2016, with commercial services seeing the largest jump YoY
US early-stage venture rounds with corporate VC participation saw their median valuation climb for the seventh consecutive year, increasing by a total of 119% during that time
Available for download:PDF reportExcel spreadsheet