Wilson Sonsini is pleased to present the Q1 2026 edition of The Entrepreneurs Report. We’ve compiled a range of data on venture, convertible note, and SAFE financing transactions in which the firm was involved during the first quarter, with the objective of identifying relevant trends in activity and valuation levels for the U.S. venture capital industry in general.

Key features of this edition:

• Wilson Sonsini’s New Defense Tech Practice: We sat down with Mark Fitzgerald and Michael McGinley, who lead the firm’s defense tech group, to discuss why now is the moment to formalize the practice, how founders should be thinking about dual-use commercialization, and the path to success in this exciting sub-sector of the venture ecosystem.
• Seed Valuations and Fundraise Amounts Climb Yet Again: Venture-backed valuations and fundraise amounts remained strong in Q1 2026, with Seed-stage companies continuing to attract significant investor interest and record valuations.
• Nearly 90 Percent of Later-Stage Financings Were Up Rounds: The share of up rounds among Series B and later companies rose sharply in Q1 2026, reaching levels not seen since 2022. At the same time, down and flat rounds declined, signaling stronger investor confidence in growth-stage companies.
• SAFE Amounts Are Down While Post-Seed Bridges Are Up: SAFE raise amounts declined notably, reflecting a shift as more early-stage start-ups pursue preferred stock financings. Meanwhile, post-Seed convertible note fundraise amounts strengthened, reaching levels not seen since early 2024.

Our position as a leader in counseling emerging growth companies across the U.S. provides us with a wealth of data and experience to support our clients. We hope you find this information valuable and welcome any questions or requests for additional insights.

Click here to read the Q1 2026 edition of The Entrepreneurs Report.