Many creator economy startups have found themselves in a precarious position in the aftermath of the pandemic funding boom. Some have laid off staff or cut costs to stay afloat, while others are running on fumes, forcing them to scramble for new capital, find buyers or close altogether.
The most vulnerable are those that haven’t raised much if any money since inking seed or earlier rounds two years ago, since startups typically seek more venture capital money every 18 to 24 months. An analysis of the Information’s Creator Economy Database has identified 45 of these early-stage companies, a sliver of the sector’s 500-plus startups. While some founders are confident they can remain independent and are turning a profit, others have hung out a “for sale” shingle after failing to drum up investments. (See the full list here.)