Coronavirus could hit start-up funding hard

Fears of the virus’s spread are already limiting day-to-day dealmaking in the tech industry. Many high-profile conferences where entrepreneurs typically meet potential investors — such as Mobile World Congress and major tech companies’ developer events — are canceled or only being virtually streamed.

Some start-ups have already been forced to overhaul their plans for new product launches that were scheduled to take place at these shows, Bilal Zuberi, a partner at the venture firm Lux Capital, tells me in an interview.

Coronavirus fears are now affecting fundraising for startups. I am seeing advice that tells any company that might run out of cash in 2020 to start raising now before things might get a lot tighter. RIPGoodTimes?

— Josh Elman (@joshelman) March 1, 2020

“Coronavirus fears are now affecting fundraising for start-ups,” tweeted Josh Elman, who has invested in companies such as TikTok and Medium. “I am seeing advice that tells any company that might run out of cash in 2020 to start raising now before things might get a lot tighter. RIPGoodTimes?”