Startup Success Rates Plummet
Only 2% of startups successfully transition from Seed to Series A, according to recent research.
A report by ScaleWise, titled Bridging the Gap: The Graduation Crisis in Early-Stage Start-ups, reveals a significant decline in UK startups graduating from Seed to Series A, from 8% to 2% over the past 18 months, based on Crunchbase data.
Key Challenges
- Weak go-to-market strategies
- Poor hiring decisions
- Inflated views of Product-Market Fit
ScaleWise surveyed 100 startup and scale-up leaders, finding that the primary issue is not ambition, but rather execution, with many founders struggling to convert their strategy into trustable, repeatable actions.
The issue is not ambition but execution.
Author's summary: Startups face challenges in transitioning from Seed to Series A.