Gurley also says for companies to expect ‘across-the-board reductions’ in valuations, and a tough market for raising money – ‘Basically, the cost of capital is going way up.’ Hedge funds are probably out of the picture for startup financings, he says, and corporate, strategic and angel money will decline.
Gurley also notes that major opportunities will become available to those who ‘play the game frugally.’ He says “The real key is to have a keen understanding of the game on the field and to be the one that adjests swiftly, rather than the one that moves after it’s become blatantly obvious to everyone else it’s time to move.”
The full memo is below.
>>> READ MORE at: