Israeli Pre-Seed Surge Reshapes Startup Funding

Categories: Hi-Tech

Israeli pre-Seed investments have surged, with angel investors and venture capital firms doubling their early-stage activity, according to Fusion’s annual report. The stabilization of wartime conditions has contributed to increased deal flow, with half of all pre-Seed rounds ranging between USD 825,000 and USD 1.5 million, primarily backed by VCs.

However, investors are shifting strategies, now requiring startups to demonstrate product maturity and market validation rather than funding raw ideas.

AI continues to attract the bulk of early-stage funding, though concerns over market saturation are growing. Angel investors are more active than ever, while VCs are becoming more flexible in their funding criteria. This shift signals a new era for Israeli startups, where validation and traction are key to securing investment.

For more details, read the full report on Calcalist Tech.