Are startup investors coming out of survival mode into growth mode?

After a rollercoaster few years in Australia’s startup scene – including a flurry of big-money deals in 2021 and early 2022 – the investment market has reverted to something like 2020 levels. 

During the September quarter this year, Australian startups announced $739 million in capital across 77 deals, according to the Cut Through Quarterly venture capital report. That’s compared to $924 million across 101 deals in the same period last year.* 

Meanwhile, the number of fundraising rounds under $5 million slid dramatically in the September quarter, with both seed and Series A and B valuations falling by about a third on average. 

But while capital may be scarce, it’s certainly not all doom and gloom, with signs of more investment activity.