This year, capital raise announcements have come in hard and fast. Maxime Bayen of Greentec Capital has been updating a public tracker on Twitter that puts the latest numbers at just under 80 startups having raised over $1 million for a total of over $1.1 billion closed from 168 investors. Several industry verticals seem to be mopping up all the attention, namely, financial services, logistics, agriculture, and education. But as the tides turn for what has been a long patchy season of inaction by the investor class from the angels to the series X heavy hitters, we must ensure that the fundamentals of the businesses are sound and not just pump-and-dump operations.
Innovation needs a strong base from which to either unseat incumbents or open up entirely new markets. Startups must assume positions in key and 'immovable' parts of any ecosystem, supply chain or production line for them to stand a chance at sustainability beyond any hype that their industry segment might undergo.
