January 2020 Venture Data Report

The information below is an accumulation of data generated from various newsletters, websites, blogs and other sources across the globe for the month of January. Our goal is to provide you with a broad perspective and unique insights on the macro startup ecosystem.

This report covers all of our recorded global transactions in various venture markets, not just limited to the United States. Finally, we aim to display and signify this information to help startups and founders gain new insight on the VC ecosystem that surrounds them.

Overview

In the first month of 2020, we have recorded 245 deals, spanning 19 days. January holds the highest number of deals we have recorded since September 2019 (252 deals). In total, there was roughly $10,515,700,000 raised by founders and startups.

Global Review

The pie graph above indicates that the U.S. holds over 70% of total global venture funding reports. Below you will find that we have broken down the global data into the two visuals below: the Global Distribution, and the U.S. Distribution.

Global Map of Funding Outside U.S.

Locations of Fundings in U.S.

Who is Investing?

We have compiled the top ten investors (by amount of transactions) within January 2020, along with the fund amount that they have contributed to startups/founders. Tracking these investors will give us an idea of who is among the most active VCs.

Note: The above companies are shown due to their high volume of investments throughout January (as shown in the “Top 10 Investors” chart above). They are not necessarily the overall highest fund amount investors.

Final Thoughts

Our data gives us the sense that there is continued growth in the amount of capital being invested into startups. We continue to see similar trends as we highlighted in our Q3 2019 Pro Rata Funding Report.

As touched on in the Pro Rata Funding Data, we are seeing more VC invested, but into less startups. Additionally, there seems to be an increased movement toward “investing locally.” The Philly region is gaining traction on their movement of new, local VCs pumping money into innovation. Very recently, we have seen the emergence of several new local Philadelphia VCs.

As Ajay Raju highlights, he trusts his team’s ability to invest locally, with “innovators and founders behind the burgeoning med-tech revolution.” He, along with others, are backing their local founders by creating three new venture fund groups. The phenomenon of “investing locally” has routinely set the bias for VCs wanting to shop in their own backyard.

Researching investors, reaching out, and building relationships certainly takes time. In trying to find the perfect connection between your startup and an investor, it might be wise to start your search close to home, and you may find out that your biggest opportunities are in your own backyard.

Hope you enjoyed some quick overview of how the 2020 year kicked off, and we would appreciate any comments, observations, or questions you may have!