“In the current market situation, fewer companies will succeed in moving from Seed to Series A”

As part of the event ‘Seed is King’ that was held by the high-tech and venture capital department at the law firm Amit, Pollak, Matalon & Co., .Adv. Ayelet Torem, Partner at APM & Co. and CEO at APMakers Innovative Capital stated that “the only investment phase in which we saw an increase in 2022 was, surprisingly or not surprisingly, the Seed phase. This is a phenomenon that is explained by the fact that some investors in advanced stages diverted investments to Seed rounds. In addition, there was an increase in the average number of investors in each Seed round, and the total Seed investments in Israeli startups increased in 2022 compared to 2021 by approximately 22%, from $1.3 billion to approximately $1.6 billion. This trend is expected to strengthen in 2023 due to the lower valuations of young companies and the ability of young companies to generate higher returns than late-stage companies.”

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