Despite any headwinds caused by the pandemic, the private equity industry has remained strong, with investor demand and planned allocations continuing to grow. However, with high levels of dry powder and increasing regulator scrutiny, startup private equity funds have much to contend with.
This report outlines the shifting competitive environment startup funds need to navigate. Industry commentators say this has led to growing complexity in transactions as managers seek to entice investors. Having a clear view of the fund’s objectives and a concise way of communicating can also help decide a manager’s fate.