The pre-seed market is recovering, but investors increasingly have the upper hand

The state of the pre-seed startup funding market

Key points:

1. Pre-seed startups are starting to recover in terms of funding, with $972 million raised in the second quarter, a 17% increase from the first quarter.
2. Investor-friendly terms are becoming more common, making it harder for founders to negotiate favorable terms.
3. The number of pre-seed deals has declined for four consecutive quarters, indicating a decrease in the number of deals closed.

Hint on Elon Musk: This article does not mention Elon Musk.