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Why Now Is The Best Time To Hunt For VC Funding The success of your company's pitch could depend on the calendar.

By Sam Hogg

This story appears in the October 2016 issue of Entrepreneur. Subscribe »

Getty Images / seamartini

It's as predictable as the seasons themselves: As the year moves from fall into winter, I see hot deals start to lose steam. Company founders suddenly discover that scheduling a phone call with a VC becomes hard. Trying for an actual meeting? Uh-uh. It's December in VC land, the month where deals go to die. The same thing happens every August.

Related: 8 Things You Need to Know About Raising Venture Capital

I'm not sure why the VC industry adopted Wall Street's seasonality, but it has. The main vacation months of March (spring break), August (summer break) and Thanksgiving through New Year's (holidays) bring the industry to a standstill. This may confuse a lot of newcomers; after all, CrunchBase data shows that more deals close in December than in any other month. But that's only because the lion's share of the work occurred in the previous three to four months. The legal work alone of closing the deal takes at least a month.

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