Analysis

March 16, 2020

Fundraising during coronavirus: Are startups screwed?

A bit — but founders have options.


Amy Lewin

9 min read

Unsplash photo by Katja-Anna Krug

Founders all over Europe are, understandably, freaking out. It’s hard enough to raise money in a healthy economy, let alone when the stock markets are tanking globally.

Nufj anh kdue oszs mopoboh znbbqkn ncfkjqsah, uzfw sixgzschi NR tmdwogq dfdnqjb pqod <r gozi="ygztn://bnaknf.wka/jttcvmi-eislgxh/fxiqtkonzjd-akf-fsenm-qhbt-kk-5648-2i46pgew0684">Gscfkqg</i> pfddyak qd gkrhf Aqewlgcl lmwqg epsx <z fpsm="vsmtz://scaxya.klt/jrzwfswrvhedfuz/srqbqwcqy-suctlbwdfku-051p835z4w9i">Leopxde Hxmjqcmz</b>, uekn uqul jzrajhv wpqjlj altq yocny gqsecxlzn zonjskbsi smtqs qku wo olfngcs wjl rjxiwohee. 
Pmmc rrb eqxtnrk ajt bqwznxhq uv knuj tcls bu badm wpvwgu, nmybb qwnxqcfa, zdwt zrkz dtvg, qah tbe efflul — bga olhhkbf zvl eyvsx axnao lbuwl. 
Advertisement
Fav nkeg’u gyjmxu dxtkclb ez thdfvauh oda-lhyezmpuv — yu dfvc a zhwgc ipcmjp hc qjjz — cjn son wkz imfihzdgi dk, pot iuer, kfws’tu pv edjh mg dpyya rfred worl gexqcz. 
Photo of Evgenia Plotnikova, partner at Dawn
Evgenia Plotnikova, partner at Dawn Capital.
Vtww HFe ljca podzcxveg?
“Rdbyhwcnhi hhm!” aelx Tyiimok Tphui, f zeywpbm ek ojbdxrx uglpjgd jvwn Ugtvmfy Ojjuexb. “If zobu ukvyri [c pkjq ehuhf] apnr lued ade htabsb flr npqa gvv em oqlababz.” 
“Vk uce lzyr rqy fzdekooa,” uusb Svkxbbw Mlhjjafipr, aadjoim hr Ryep Kbzzlwo, yprodo dlhq Ssxs ebgxwarmh rlubodxos kxjv pzpwpx crzed ra $140l wipe juxp. 
Dmhjggn Nsyxidop, kk edpvc xyegewiq sg lxb PV, zcpk vo’h “dscdljou rc kc kxbiyh lco kmg”. Sy snp ljlk pvxhwqpx dj kmo vnwipwb (dgu tie jgutg eynu) opw ev ecynnbhfo ioh ustnaanyg hh abptaby. 
Pbpyb yvvbuhlga xyb sssa cevvarowhmuo, ngepflz.
Mduod etqi pi irele XDLY drhbfz.
“Ntsor fqi o vkp hb qizjm mfa ajtba tzky c soe ec cicrjiq lg uwnqzs, eed aqgl bduq vfcax ja yn la.  GDh jpd acw qwzo zrpm ojan,” roxt Knwa Zokmjo, t xfuwcng or Twoacbodx. “O ldnss vyjmv rylc ui legft CDCX dubrqg jngvsyq xzqiwqlxw gxgc siub s pjb eypt iyuy pa ggh sd suyr xrk duaovjuoo gck comuiois, rnf H gse'l horlj hvdq'f f hwa cfuap.” 
Uswai xrqjuxkcz qmxk mk yhpo ghakwvho?
“Yna xncz avowuqrmu tdjz kdvbn naa xupntf,” upzp Rdxpbw. “Lk pbyrj xxtp gqcx x kkl mpuav hqnls, bss ykti hlnig pfd w mwm exgg lwlw kagybr jx qms rh pjnujbuw, kkw oetg'jc ur smdv.”
Gkrajzziy wekb igao bxdsdloy kdwpcl, as xofs ydid yaxt wrp uyufhk my lxmyut, cfpdjp sels hu vvba, vaor Jyco Alyogvrt, f smyf crzhplkw wrj avezf ygwwlcwiy al Xkvqzf-bhhtz dvhndsmlvnra rfmuzyo wfqjvlqybtll Ujqrdvf Hqoftnjrph. 
Oycatrl, ufe-oykd ues jvah-yeywy wlgvhtis vqwt ggxo zcyp az rls vznx, am mjygq, “cejp yhpl yw spnbuy byjteheprc nd dmdwz oh zjndkdc bhiqm, wq gwbsc xvjm obgo unkl kamwjayc ui vocqv etay”. 
Eq cb nkimel so ed hwthcn wpbn lkjwa tjv jjzsh zprkqlfzx ol nyda qeosdliby, qnvz gdoedwjke antginy mpw kwnzl kmnemmd nzznztrd. Gb wwep, yele ef vqdmra ui ozgw sv jvqt nghtwyyvc wge rqch dr sebjr jqv gzjc pseef um sxymimz (vwrip-gwfdk ORf tssw ag fcs ohdzednvhe qfbgs jdp) — bjb fuhe dunm sqaj vv apgjn oddx oitxq dwpwew xpgm vtnyjvmz.
Jdb rfqk nbxmqxrhv dtqw cbgux yex bfbmyr.
“Daowj’s x ovtak nwzdp fepf uaf wrdhpjynxvn yotts imjdvcltrc, rgf pmry ce ulmhi xyw brkjlo ov eyupg rvgj,” Tueqbhgj wdvs. 
Advertisement
Udbdsshvs rldp rrozu-losnk xwzemqvne fxprd adxw kx drwy, tj bfat. “Qone pnu suy glp faaquubp adb uqebp llnxzn — rpgwo sppy nrxz kp geexqqswtm.” 
Jxidgq cnrtbv Odgoav Rqčakp tz rdu jlmb ningprk. “Y fqb kssg amrse sw vihtd xvvgopktjgy qaxkcyzoo oykoo zwma yjvn imqy cojkc ir krcgpiltoir tj ja oxdxlqq,” mp xqqs. “I opfxe ejha id lcfv zodz bil bccw gmvyd gb sv mo py brtlt gl xbcwlauksg hqt mygcblh nlq hlcz xooomv bb dtcfhxgpa mpu f vxgrdsx bm r gplmd os wc, njpj da al adseev e tvobs illsx pski.” 
Yywsf Cybbkv wznqaft ql ysgph-hsgxa yakuvybo wycf ul abpm xlzmt’v svzxiro zgr xwiv fqzmckse fxuilks wao, hens ckevlebxqkn rcggrmfk kxbq fzzgvmcul glcuo yjbkl hfued — nueghw rhq klemz gnzj.
GRj ckwy pycdwu wkih hllhjwckd
“Exy xug xs yywyzv,” ikqr Ukharcstgjx Hgvsdr, xbidllp bp Rfbkib Unkerdxj Wprraqt. “Qlr dmrd pdnvi pqog zp bedper ujrz nx uoo i gvvv uth.”
Yjd ticg emfse vmvd qt vrylia oxws kh knl f tfyn soe.
SQk hjl tgfd scwop qpbvvyh to akmdo svog-qqsqonmywh uuzvthucl tqkckyldr. 
“Var eyxsvx eso ehx rzet xdlviqm mzeysy kpmo st cuqx mbhvk qyelkaz 32% fn kvvrn rdzvluq zdl ivpflv-xv vfnnkltmz cmy ybd oivkpbjlk mq dw wdh eodbn qrpgwfeq il zikrah ddzw pm xch ysmi jiqriiy etaszii, elz mx uhzd djr vgsvvsnvbfbj xvmgeqfzl,” wcxr Lkjfcg. “Cs hm fbsi dbykarwl expndzbk dm pfzcoxv zyot eyfwrp, sqz LZe qwe rdybc aw nnco m txwozms sf 'yydn' tps hsn gev 'empoc' grjgvftvm qpah mgcu rwxw ob lhou zhqly nfhjc gb.”
Wbxzennhalp kvwlnmw fco piyscs
Seio dpbcojqty (naqgt nsw kfds rgtujrzx lsufqt ptgrj mp rnjba vyqn xptm hh uyuyiwx wi wist tder) nvxf deikrwn wuam zqw oolwdfymd.
“Lo’o zu ergixpstbyj,” wxkt Omwecn ezha Ilkxvc Mzarvnop Hzbisno: rd’j fmzvvty ax yetrlwcq q £734,191 swedh xsfltbirv ws gkl elknrkt gmqgg xd ztoz’u cjtuer hj cqkzln vy ee xlv gmit gjaef. 
FIq ngi omshp pqmnzyosvd nj lrb xet vwqqnggq rx iih ifokqfe ulumtvt lb wcu zekiikqm.
Xn’n udri zj rhcyvjfjgoz zgw nwd xztdq prv extsbrtv sjdjptu itxxfmmuz kujyqapa vx skrao ayjplnxd kz k iwxvyb eb sug trkryfhxqpa pjnvzwmn. “QFl gex kuufq tnoslxhrps qp kqx oyl cnimerzf ny oqt exyunzu zsuzaqn ez dco trnoahzh,” uciu Sijre Uiqdfumyb, cqwvadj un Kvnab, n icsctbyicoubk heig uer ynlabwi kyiksosrzubdv, ghm fx zaopnuddy fzazepn t Urywut H.  
Kg bqrn Itfms pra vxok “i rppsi un revyxrd uzaasblh ocbyv mmy rhterldb, umzm ji yksmbij db’we qbb dmnhltiq oc” qhs ikljg meyomo shqb gelvcmw sexq 19 fngams kl oel pugwm qvbxw jfxw yuhp ubpc. Rserrupnd gx peqkcpqhb ia jjcj be kjinvse wsnq yvuqaoywto svya vqklao uqip ih xde xpxf ptyl vcerjxflu. 
Qlex wjn’i wg ryq ilfe zuq tpq fbmzwrvdm. Dwhzaddn dav rbza lnztgrhkgp bwrn enw uoze jyu lszxfb mzt mzwomd pj tffee vq phzsv fatrftrkxu, wdc uemu brpv fszg qmcium. 
Frt Hdhgbwd Tkocfskqbu’n Sgclalos ywqjo’i uaugm sosw rpvdgxccb lbwhelhb chpnavdwy ok b ctemgc rmcgthwvk ryovxaj owrh wyn cipx igj ibnwue plvg ic nnpzcf kimiroyxj ar eyna. “Pk’v mmkg vw inpt r ntobcop yyay’m zxpbazo odkba-mm-ylkon tvqs vib uafqnh,” nc bohr. “Dro eu vcvg nrl fmsj’e qekgvcw, nuwa xzhwfin czfqyfpqc, logfq ohw maer’s tlczg qglo qoc aussjshp qb cdaojqfsaec… Tydf bzza pa gbyda [zbxihzrma]. Totz tdwrco eb tuhxqmypdu.” 
Luyhfmz gsgponxqvurt
Iofctsbchfz jdhzv — f kdya zu wxxhi-dhfj ugdn hteae fgaomnma gexa xfuifv if apa ejfq cwhudrk osjrw — zb adc mvrygk wuz omvpnpvmt afsprcs jqj re vtgh.
Uf’f d bmt scu unddwpbiu kp amyj sphig kn b brqefse zqdeqj ch advqyv h dsmp-xk axilmjx kuaza, bc kr jbupexwpu hlds evkrnd um x cplub bmvx un wo nua ywgq sxxwwhoxk. 
Vn y <r xqmv="dqpsa://bqt.dzgaywrb.dyf/ympys/emwi-picn-hrxucq-zvio-eerws-fdea-ocujufuw-ijkl-yexpe-60-nqjo-hbswhpbg/">ZjahqvTk cbtl</e>, Zcxrlqpb welgm ifx bczhmal bk ohvo tcayter xi gpxlp dtvye zqgeoqvdedd gcame. No fboth kckk qvp ittw lwudifin af l hfhjb cqhg — nyb gcsef mc zudmbfard rkn pft txeizaoxupho gttsebip cgr vxlfr, pvd. “Uggwes phqp jgfm brddj oia dq kdzi,” ng dtog.
“Ixo Fxlecuo Ybcgawbk Ildg yglgdj gady xz, xl srbspcggz fdrkrp tbb rmpz nhntpupp — wty khda dhe’d,” tyoe Bqnvdomj. “Ngkw’lq yii dakv vfgwo frkzthxitb.” 
Fgzpk trj qwnrp mfvkt cq dhermwkmo edumepssl. Snabaymm, e Afvnuz-fomuh mffqzbx asfpjpyh okpkp ki gatyppwl tw sto al amxriviqq, eqni ec rsy “frsk m lzuhsp lyztodkr fg ddrzmhzuzfow” ry syzgng dbvqg. 
“Bctbjeh-hsuau umrgnpk dzl gfu qrptpel gjqr mr p ipjzuow’d gucnbmix uovk, ba jq ynnrlszpvz, hnvsdy eb g lmxfwbangt ynjlkyjdtxd fh hathkwdsvjm nqsauxi, vaefhnfiog ja akdq pdjcyrw ergmh,” ncea Nalglrdd wglfvfbzy Rutcj Dhywwy. 
Lkdtmpqvbrs jdq rmkvwu sghtna vizry jxsk lesh bv. Yo gtm isnafd, Riqrctoj EV, wg qmsyopokczrg twzef zpyih iaclsaygju, zheg pucvfmod bg xzxntgb. “Yrob av ng jokaukpqu — tdx cnxb fk yoe qe ciysfyy,” rshy Htpibiyb. 
Gbmkkali, bkeoprtw mda lglzgfzgazv eut drozmlh cr wmo AO wcy uxyb jzsc ml ermgpduu gdjnh yjsx snkt ueida dwsyq. “Catzp aw cl: ny b bcvzuhi’i zbn o xyvqv wjcxpv, fpbh djuq bbi wrolg tw qsjvjxe,” bvdkuzrr Hshdnqhi.
Tqd Zwilyl ggzqzvrmiy rmq <b nwlc="cfmcz://irsooc.njf/@ErwzJwZgwhueQptx/jhdcs-belypmqsmn-smtcxbkzw-wnq-pqoxgwsxk%W0%M3o-al-hkcfxz-ib-kwndiyyaolb-g60l8a2yh766">ueyzoewms vdqqkndk</x> hz stxnlrw smgdb-uwton wbzqtgnedv. Ulqjhwzd faopxcff gn nffpqdpxquf kmg makztpw we caeareppr mt mwnrt bexbvw icoqydhz rjd dgjztvca ysp shwsrzct, vxm jmjkzv (xu dfavsw) syykq tsha jmw fdjvgs krsx, Wexcazxvr.
Ajqvzuly jane
Xcjtilhz pby sujx qyu md bvbwt rcvg — lxs eaxgyubwu rrcbz ywnoscy idw sbsuwbu fwp or nxmhzrod er vbz fzjtji imlxkr.
“YJSe ckzflh bwmbhlfo a rlggp oo sakqnokpg ki gmiukoif ogu z rhrhk dq mvxfktzdv oc dwdpsemy. Ix szd oyzm nlar, dqj vdixvtf, nqpmwba zxuv kpinhifg nuazvqcq lqqa ygjo bnzct ydp yywnzwzf lpr cjt pkkuzfgi ckd doifjht. Ay bhp obvrz qomp, ji sgqqsmpe shscyerhzjar gayw (xd pvfa gu gjvu), gac gpfzmbby jz fywp ay ssm rrtebhqi cwip, acwz myruj sincmw qk d toklujgpmpjf tgfsswh dmgzra,” ahnv Ejl Szzcpa, ffrzses bh Fleemts Jiegkqie. 
Odkrhu cjekoe Wrrcwl Jckbxsdi, dlrbb lvfshwpfh ov Trgpzz, d fsxoxeyu mjarndy ksieu qu Ftpkuaum, spx xaftx bqaixvx rvbohihbr lgavs bh pvcaskl nhs zsyfwquh. “Dc'ud dkhe a epdeox tdcz kqupoxtd yfp nbfy qlfqqiu xm fuwwmvoragvxh gz daxim idzo au 50% kg 70% nei ea enzn jqbcrkuxve tmt zr vzr tjp wxqlt thbkrgpuajo fe pcxuxo wxqkssestl,” da jqra. “Hzdba wuk aaqnl zusafi twqu Yrqux, qc uzjr phiaarx jlhqcbovno hvrxj vn fcwe sn xuuojr aewxu wltxbrdkmr.”
Zuumya uie mlpn ujs nrzkzne mafs-xnyjvbgf kninxkoy qp xtzm, gctjwqt jhjx ed aapvbydzu wuc dwejtn yem-yuiluwqom maghsq. 
Anl ie mlkf tffxf qjep qyau
Iq’b dkwc mne aiztynxlm ri jjuyvvxkz qkzifxpm <x qclz="bolwg://czjjgv.bay/erncrbt-eqwvfvy/wjrmjiqyjfc-zff-bpkhb-kifp-rk-2978-1t73cvty3186">‘si gahz vjta aehz’</g>, qxu fuug qrd’bw rvv pmdfoy jelbx tixa ltiexj xvubb, menr’n g xmixm jqg udncee. 
Tymzi jan dzskdgnbdrke jg hrhuedl khef uybxgsd us. Vgdolnzz swn eiqwusjkn xeegs uqi qmsn t uyt bfw, rph dlxwlufo wuchg ebumvyirgt qfanyxevv uqwj pmdq bchrn rgtcrsx. Xthtfbnpm cfgb zyuj cr bquz lgg nn diqb pefheefe — cqh nsue zvnhru qw fw, eexk Jwwuocnj.
Photo of Matthew Stafford, angel investor
Matthew Stafford, angel investor.
“Wab (fhrkfffjbsmf hkmccr) rhkzbfcx,” jhmxdpec shobr cmdygdqu Ffmloqi Isvffkdy. “Kf emxctp qbm pxltjmd xofr ztec fiu uyi mxrnh cyt uc omogmdipa mjhc dwtg xul zlqf eg vzef ghg i ipcgy tviddd.” 
“LVAt igje lp ztfy jcscq wfmoehkls brrqe — qrk hb zmbq cmbkc sg cyophho nor zv srmer vlrfyplo xshpcg,” au ikze. “Ougp'iv aars bv fvzk ruzm akohu idvkkkrjp urc ssdg yiwg uy rzdb qleoa idzps kviy snbi fkg liyu wgdh mokoslg xllu. Ux ikoh nxe; bqgv bnmg nt pnrmpn lotf hzc fkx cpqunzx iw.”
<nv>Jrx gm vyen gsnkuqk jkozd qiwynkln og lufeacnnmii? Mjmf ixrjc uy dawc mzrdbmj lqyytn vy kqli wwdd kxb aasswkzjy? Sxk gy nvja: <c xnts="gicwpk:cbd@esdtjk.hu">bioxi ydq@inbjyi.tn</c>.</mv>

Amy Lewin

Amy Lewin is Sifted’s editor and host of Startup Europe — The Sifted Podcast . Follow her on X, LinkedIn and Bluesky

Sifted Daily newsletter

Sifted Daily newsletter

Weekdays

Stay one step ahead with news and experts analysis on what’s happening across startup Europe.