Start ups at 6 year low

Investment in start-ups hits six-year low

Investment in early stage businesses has reached a six-year low, with only 32 fundraising rounds recorded in the three months to September, down from 75 in the previous quarter. A report by VenturePath revealed that companies raised £162m during this period, marking the lowest figure in at least six years. Despite the decline in the number of funding rounds, the average amount raised increased to over £5m. Michael Moore, chief executive of the British Private Equity and Venture Capital Association, said: "It is clear that we need to get significant new capital into the venture capital funds which back the innovative businesses that will be the backbone of the British economy in years to come."