Focus on later stages creates local startup funding gap

Thailand’s venture capital (VC) landscape is dominated by corporate venture capital (CVC) firms that chiefly aim to invest in later-stage startups, leading to an investment gap for early-stage startups, according a new report by global business advisory Deloitte.

“The struggles Thai startups face are part of a chicken-and-egg conundrum,” said Metinee Jongsaliswang, country consulting leader at Deloitte Thailand.

“Startups need capital to grow and become unicorns, but many venture capital firms see this ecosystem as too nascent. They are uncomfortable providing capital without proven ecosystem success stories.”

The country’s startup ecosystem was ranked 53rd in the world and 11th in Asia-Pacific, according to Global Startup Ecosystem Index 2022, commissioned by startup research centre StartupBlink.

Citing Deloitte’s “Future of the Thai startup and venture capital…