VC Playbook: Finding Early-Stage Financing When Money Is Scarce

 
• By David Wild

Early-stage companies need to be more flexible on the financing terms they are willing to accept and in finding ways to gather evidence to support the impact of their products or services.

Early Stage Companies Need To Change Their Approach In A More Conservative Funding Environment • Source: Shutterstock

The pace of decline in biopharma venture capital investment over the past year has been striking: after an impressive first quarter in 2022, when biopharma companies raised $11.9bn, the amount of VC funding contracted to $5.7bn by Q4, well below all four quarterly totals in the prior two years. (Also see "Finance Watch: Founder-Friendly Curie.Bio Launches With $520m To Seed, Support New Companies" - Scrip, 16 February, 2023.)

There’s no indication things are improving, with panelists at the Biotechnology Innovation Organization’s CEO & Investor Conference saying they see...

Read the full article – start your free trial today!

Join thousands of industry professionals who rely on In Vivo for daily insights

  • Start your 7-day free trial
  • Explore trusted news, analysis, and insights
  • Access comprehensive global coverage
  • Enjoy instant access – no credit card required
Start Free Trial

Already a subscriber?

More from VC Playbook

In Conversation: Sketching The Future Of Biotech Investment With Lilly Ventures

 
• By Jo Shorthouse

Laura Lane, European head of Lilly Ventures, talked to In Vivo at the recent Bio-Europe meeting in a fireside chat about how strategic investments are shaping the future of biotech, Lilly's approach to early-stage innovation, and the evolving European investment landscape.

TechBio’s Next Wave: Where AI Meets Biology And Investment Opportunity

 
• By David Wild

TechBio stands at a critical inflection point, where computational innovation meets the reality of biopharma. Industry leaders have begun to cut through the hype and identify where sustainable value truly lies in this rapidly evolving landscape.

Mixed Bag For Biopharma Funding In 2025: Dispatches From J.P. Morgan, Biotech Showcase

 
• By Mandy Jackson

The J.P. Morgan Healthcare Conference and Biotech Showcase revealed what investors are really thinking about the health of the capital markets this year.

Life Sciences Deals Unlocking: LifeArc Ventures Sees Pace Of Investments Pick Up

 
• By Ashley Yeo

Attrition among biotechs and VCs holding onto their reserve capital for existing investments may have reduced the capital available for new life sciences funding, but UK-based LifeArc Ventures believes its recent activity is indicative of a general upswing.

More from Growth

How Vir Bio CEO Marianne De Backer Is Rebuilding Commercial Momentum

 
• By David Wild

From billion-dollar COVID antibody to a strategic reset, Marianne De Backer is navigating Vir's comeback through pipeline focus and disciplined leadership.

Chinese Firms Build Obesity Clinical Pipeline But Face Wider Hurdles

 
• By Xu Hu

Despite the ability to initiate clinical trials quickly and having strong manufacturing capacity, Chinese companies are facing multiple challenges in the obesity space.

Deals In Depth: April 2025

 
• By Deanna Kamienski and Maureen Riordan

Four $1bn+ alliances were penned in April, and one exceeded $2bn.