Tennessee and Georgia trail most other states in VC funds
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Staff report
Over the past three decades, the number of venture capital funds has more than quadrupled and employment in businesses backed by venture capital (VC) funds has grown 24 times faster than the overall economy, according to data compiled by the National Venture Capital Association.
But for their size, Tennessee and Georgia continue to trail most other states in equity investments in startup companies. And after five years of steady growth, a new report found that venture capital and “seed” funding in startup businesses dropped in the second half of 2022.
“VC is famous for its ability to adapt, but few foresaw Russia’s invasion of Ukraine and the ensuring geopolitical retrenchment that turned out to be one of the major disruptions of 2022,” Bobby Franklin, president and CEO of the National Venture Capital Association, said in a new PitchBook report.
