The current economic climate has been challenging for privately held companies seeking to raise growth capital. Several factors have contributed to the recent contraction in fundraising, including high interest rates, reduced access to capital, a decline in valuation multiples, and an unfavorable outlook for exits.

Given this market environment, companies seeking to attract new capital have increasingly had to conduct down rounds, equity financings at lower company valuations than in prior rounds. Our Goodwin Deal Database indicates the percentage of down rounds has risen steadily for six quarters. READ MORE