As startup fundraising appears to be stabilizing after a few tumultuous years, there’s one topic which has reliably featured in that conversation: dry powder.

“Dry powder” refers to the amount of money that limited partners have committed to venture capital funds. Rather than being delivered upfront, that capital is requested in increments by VCs during the first few years of a fund in order to meet funding obligations to founders. That estimated number stood at around $580 billion at the end of 2022. READ MORE