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Silicon Valley Bank highlights potential silver linings for entrepreneurs

While there is a great deal of uncertainty ahead for start-ups, Silicon Valley Bank said the VC ecosystem has weathered recessions before and tech tends to perform well during a recovery. As start-ups brace for the uncertainty ahead, many groups have looked at the potential outlook for entrepreneurs in the current climate. In the latest report, Silicon Valley Bank’s State of the Markets for the second fiscal quarter of 2020, analysts looked at the slowdowns and success stories that are set to come out of the crisis. Silicon Valley Bank noted that “experience matters” for VC firms in tough environments, and that the majority of active VC firms have “never seen a recession”. The bank added that it is still unclear whether the economic circumstances could impact the valuations of tech start-ups.

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