Venture Capital and subprime fallout…

Today's NY Times has an article about the possible impact on venture capital of the collapse in the sub-prime mortgage market – "Oddly, Subprime Fallout Could Help Some Venture Financing".

The article is based on a post by Keith Benjamin of Levensohn Venture Partners on his blog as highlighted by Matt Marshall at VentureBeat.

At least my article by in January this year wasn't such an "extreme case of bad timing"!

I think that we will slowly see renewed interest in companies that are fast growing and where there is more transparency regarding market risk. Venture Capital has been a critical ingredient in helping build this kind of company for several decades despite the lack of interest by public market investors in recent years.

Just like the after effects of the Bubble collapse in 2000, I suspect that the current market woes are going to have impact and echoes for some time to come… a good time to be in a startup focused on emerging markets and their customers!