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What's With Soaring Startup Valuations?

  • Fortune, Thursday, October 31, 2013 10:49 AM
Why are Web startups attracting so much investment capital at such high valuations? “One possibility is that these quick follow-ons reflect early-stage investor concerns that we’re nearing a market top for consumer-facing Internet companies, and therefore are encouraging their entrepreneurs to take large rounds while still available,” Fortune surmises. Either way, “Raising fast doesn't necessarily correlate to a company's ultimate success or failure,” it notes.

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