Bloomberg

Auto Added by WPeMatico

VCs warn coronavirus will impact fundraising for the next 2 quarters

As of this writing, COVID-19 has killed more than 3,400 people around the globe and the coronavirus has infected tens of thousands more. But its impact has gone much further, causing major disruptions in public markets and leading corporations to pull out of conferences and delay travel. Big tech companies are asking workers to stay home and investors are now urging startups to prepare accordingly.

Coronavirus fears are now affecting fundraising for startups. I am seeing advice that tells any company that might run out of cash in 2020 to start raising now before things might get a lot tighter. RIPGoodTimes?

— Josh Elman (@joshelman) March 1, 2020

Sequoia Capital sent a letter to its founders on Thursday warning that the coronavirus was a “black swan” event and startups should “brace themselves for turbulence” by considering if they have enough cash and preparing to face supply chain disruptions. The letter also warned they could have a harder time fundraising, similar to the market downturns of 2001 and 2009.

The coronavirus effect is rippling throughout the tech world. Seattle, which has seen a cluster of cases, seems almost a ghost town in some parts, according to entrepreneur and former Madrona Capital partner Shauna Causey. She told TechCrunch that many of the coffee shops and co-working spaces popular among VCs have gone empty in the last week and all of her fundraising meetings are conducted via Zoom.

Given that fundraising can take several months, if their cash out date is 2020, they should be fundraising soon anyway 😬 also hearing from founders it’s already getting hard

— Evelyn Rusli (@EvelynRusli) March 2, 2020

A Singapore-based VC firm told a startup I’m working with that they’re not going to wire the entire $2m investment they committed to in the Series A, which has been in closing the last few weeks. The rationale was to conserve capital due to coronavirus. The funding risk is real.

— Tommy Leep (@leepnet) March 4, 2020

And already there’s some chatter that funding might be drying up for early-stage startups, though Bloomberg Beta’s Roy Bahat tells TechCrunch that startups should always be fundraising as soon as they can to protect themselves from this type of calamity.

Powered by WPeMatico

How Carl Pope helped drive a $500 million pledge to push the U.S. “Beyond Carbon” (Part 2)

Billionaire businessman and philanthropist Michael Bloomberg recently pledged to rapidly spend $500 million in a bid to push the U.S. “Beyond Carbon,” aiming to end this country’s use of coal and natural gas power in a generation or less.

In another recent piece, I featured an in-depth interview with Carl Pope, the veteran environmental leader who has essentially been the inspirational force behind Bloomberg’s evolution. The former New York City Mayor had never given a major gift to environmental causes as of a decade or so ago, until Pope “convinced” him to get involved.

Carl Mike Option 1

My previous piece was an attempt to understand the ethical vision influencing Bloomberg’s work, by looking at Pope’s personal story and the history of the environmental movement he has helped to shape. Below, Pope joins me again to look at the details of Bloomberg’s “Beyond Carbon” plan, including how he was able to persuade Bloomberg to take it on, and some areas of controversy that could arise as the $500 million is distributed.

Greg Epstein: You and Michael Bloomberg met around a decade ago or so, right?

Carl Pope: About 12 years ago, actually. 2007.

Epstein: Bloomberg had never given a major gift to an environmental group before he met you, and, as he writes in the book, you “convinced him” to get massively involved, to the tune now of many hundreds of millions of dollars. What do you think it is about you, the way that you approach things, or the work you do that made the two of you, in this relatively unlikely partnership, work so well?

Pope: We both like big ideas, and we both like to pursue them very pragmatically. We set very high expectations for what we want to get, and we’re willing to take necessarily small steps to get there. That’s one thing.

The second thing is, my original environmental frame was air pollution, [which] I worked on the first seven or eight years I was an environmentalist. Mike is a big public health advocate. So the fact that I was talking about saving people’s lives made a lot of sense to him.

Epstein: He talked about how you ‘showed him the numbers,’ back in 2011, on just how deadly coal actually is.

Pope: Yeah, that was the deal sealer.

Epstein: Interpersonally, what the interactions between you and him like?

Pope: We’re both public figures who are actually somewhat introspective, and so it works.

Epstein: I’ve read the “Beyond Carbon” plans as they’re presented by the Bloomberg organization. They do seem quite promising as far as broad, sweeping PR statements go.

But whether or not they will work is all in the details, right? You’re a detail-oriented person, as you just mentioned, so, what are some of the practical steps the plan calls for that you think deserve the most attention, beyond the headlines?

Pope: In A Climate of Hope, Mike and I articulated an approach to climate in which we gave our reasons for thinking that most climate leadership is going to come not from national governments but from businesses, cities, provinces, civic organizations, from the bottom up.

Powered by WPeMatico

Bloomberg Beta raises a second $75 million fund

bloomberg beta When the partners at Bloomberg Beta — a $75 million seed investment fund — sit down to review how they’re doing, they say they don’t first look at the valuation of their portfolio. Instead, they first take a look at how the founders in the fund are grading them as investors and partners. While paper valuations are always important for any firm, a key metric Bloomberg… Read More

Powered by WPeMatico

Alibaba Invests $194M Into China Business News To Build A Financial Data Platform

Alibaba Share 86-88 Alibaba, the Chinese internet giant, is currently focused on investing internationally to grow its business, but is also continuing to build out operations at home. In the latest move, it has invested $193.6 million (RMB1.2 billion) into China Business News to create a new financial data and information services company. “The era of Data Technology is here and it will surpass the… Read More

Powered by WPeMatico