What the Silicon Valley Bank Meltdown Means for Startup Leaders

By Paige Gross & Michaela Althouse & Julie Zeglen & Sameer Rao

SVB is among the world’s most influential financial institutions, working with companies in sectors from venture capital to private equity to premium wine. The California-based commercial bank holds special significance in the tech sector, as it reportedly holds the business of half the country’s venture-backed tech and healthcare companies.

When SVB launched in 1983, it was part of the new infrastructure to support the specific kind of high-growth, risky company that its founding region prioritized. Its expansion over the next 40 years became tightly tied to how many American cities were following a homogenous Silicon Valley approach to business building.