Venture Capital - Singapore

  • Singapore
  • The country in Singapore is projected to reach a Total Capital Raised in the Venture Capital market market of US$10.24bn in 2024.
  • In the same year, Early Stage is expected to dominate the market with a projected market volume of US$5.64bn.
  • When compared globally, the United States will lead in Capital Raised, generating US$136,600.0m in 2024.
  • Singapore's Venture Capital market is thriving, with a focus on tech startups and sustainable solutions, attracting global investors seeking innovation.

Key regions: Europe, United States, United Kingdom, Australia, Brazil

 
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Analyst Opinion

The Venture Capital market in Singapore has been experiencing significant growth in recent years, driven by various factors such as customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors.

Customer preferences:
Investors in Singapore have shown a growing interest in the Venture Capital market due to its potential for high returns. With the rise of technology startups and innovative business models, there is a strong demand for funding to fuel growth and expansion. Additionally, investors are attracted to the Venture Capital market as it provides an opportunity to diversify their investment portfolios and participate in the early stages of promising companies.

Trends in the market:
One of the key trends in the Venture Capital market in Singapore is the increasing focus on sectors such as technology, healthcare, and fintech. These sectors have shown significant potential for growth and innovation, attracting both local and international investors. Furthermore, there is a growing trend of venture capital firms collaborating with corporate partners to leverage their expertise and resources for mutual benefit.

Local special circumstances:
Singapore's strategic location and business-friendly environment have contributed to the development of the Venture Capital market. The city-state serves as a gateway to the Southeast Asian market, which is experiencing rapid economic growth and has a large population of digitally-savvy consumers. Moreover, the government of Singapore has implemented various initiatives to support the growth of startups and attract venture capital investment, such as tax incentives, grants, and regulatory reforms.

Underlying macroeconomic factors:
The growth of the Venture Capital market in Singapore is also influenced by underlying macroeconomic factors. The city-state has a stable political and economic environment, which provides a conducive ecosystem for entrepreneurship and investment. Additionally, Singapore's strong financial sector and well-developed infrastructure make it an attractive destination for venture capital firms. Furthermore, the government's focus on building a knowledge-based economy and promoting innovation has created a favorable environment for startups and venture capital investment. In conclusion, the Venture Capital market in Singapore is experiencing significant growth due to customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors. Investors are attracted to the potential high returns and diversification opportunities offered by the Venture Capital market. The focus on sectors such as technology, healthcare, and fintech, as well as collaborations between venture capital firms and corporate partners, are driving the growth of the market. Singapore's strategic location, business-friendly environment, government initiatives, and stable macroeconomic factors further contribute to the development of the Venture Capital market in the country.

Methodology

Data coverage:

Data encompasses B2B and B2C enterprises. Figures are based on the amount of capital raised, the average of deal size and the number of deals.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use data from OECD, annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, CPI, number of small and medium-sized enterprises (SME), new businesses registered (number) . This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.

Overview

  • Capital Raised
  • Average Deal Size
  • Global Comparison
  • Number of Deals
  • Analyst Opinion
  • Methodology
  • Key Market Indicators
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