VALUATIONS NEED A CORRECTION

Summary from the TLDR Founders newsletter

Startup valuation reports only include companies that managed to raise money. As fewer seed companies reach Series A, that group becomes increasingly selective. A model correcting for this bias estimates that new seed rounds value companies at four times the average existing seed startup. Higher round prices can therefore accompany a tougher fundraising market. Before using a recently funded competitor to price your own round, compare your growth and unit economics with theirs.