Better days ahead?

As we wrap up 2022, people’s attentions have naturally start turning to 2023 predictions. A new year brings new hope and after 2022, we all could use a fresh start. I’ve heard everything from 2023 will be a soft landing and rebound year to that we’re in for a recession worse than 2009.

No one knows for sure what will happen. My personal take on the situation is that we’ll likely be in a recession and economic slowdown in 2023. Companies will greatly retract spending due to the downturn and we’ll see a ripple effect throughout the entire economy.

The market will not rebound like we hope, but it’ll settle down and volatility will lower. We’ll start to see glimmers of hope in 2023 and comparable/multiples will likely start working their way back to the median ranges.

It’ll likely be another challenging year for startups, especially in the first half. Downrounds and bankruptcies will dominate headlines in Q1 and Q2. But I also expect VC funding and secondary market to open up more in 2023 compared to 2022.

While I may sound pessimistic, I actually believe there’s going to be a lot of opportunity in 2023. I’m excited for that and a downmarket won’t deter me from chasing those opportunities.