Startups
Startup Outlook 2012: Entrepreneurs are Optimistic and Hiring, but Concerned about Government Policies
Today, Silicon Valley Bank released its Startup Outlook 2012, based on a February survey of 270 executives from early-stage US startups. Here’s a quick roundup:
The Good
According to the report, “The survey revealed that the tech sector in the U.S. is healthy, hiring, has great business qualities and that startups are optimistic.” 64% of startups met or exceeded their 2011 revenue goals, and 61% believe business conditions are better than a year ago. And these numbers are even higher for software startups. Meanwhile, 90%t of software startups are hiring this year.
The Bad
Entrepreneurs’ concerns boil down to two main issues: education and government policy. 60% of entrepreneurs surveyed believe the education system isn’t preparing students properly for the workforce. And again, that number is higher for the software industry.
The fact that so many startups are hiring might mean that they can’t find or attract high-quality talent. “If I look at my own portfolio … we must have several hundred open positions,” said Jeff Clavier, founder of SoftTech VC, on a call today. “There is so much competition today across the growth stage that it’s really, really hard to attract that talent.”

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