The venture market slowdown continued in the first quarter of 2024.
VC investors directed about $36.6 billion to U.S. startups across 3,925 deals last quarter, according to PitchBook and NVCA's new Venture Monitor report. That's nearly 30% lower compared to the same period last year.
Investors have pulled back on new investments since the highs of 2021 and early 2022.
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"The first quarter of 2024 did not start on a high note for the U.S. venture capital community," the report said. "The venture capital business cycle effectively reset in recent years, and as of early 2024, it still appears to be searching for its level."
South Florida startups attracted about $582 million from VC investors over 94 deals in the first quarter, making it the sixth-most active market in the country.
Miami's market was "well below" the top 10 most active markets before the Covid-19 pandemic, PitchBook noted. The region doubled its deal count between 2019 to 2022, aided by the openings of new venture capital and investment firms during the pandemic.
"Miami has demonstrated staying power in its VC activity," the report said.
However, there have been significant funding declines in the tri-county area since the pandemic-area highs. Startups based in South Florida attracted nearly $2 billion from venture capital investors in 2023, less than half of what local companies raised the previous year.
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The top venture capital funding deals in the Miami area:
- Crisp, a Miami business productivity platform that raised $85 million in a series B funding deal that closed in February.
- Passes, a platform that helps content creators connect with fans, raised $40 million in a series A round. The company has offices in Miami and Los Angeles.
- Downpayments, a Miami fintech that provides interest-free down payments for property investors, raised $32.8 million.
- HealthSnap, a virtual care management platform that helps health care organizations manage chronic conditions remotely, secured $25 million in a financing round led by Sands Capital.
- Upwards, a care benefits startup, raised $21 million in series B funding. PitchBook reports the company's headquarters is Coral Springs. However, Crunchbase lists its headquarters as Los Angeles.
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