Europe’s Seed Problem Is Structural, Not Financial
Europe does not lack early-stage capital. It lacks execution velocity.
The assumption that copying Silicon Valley instruments will fix European funding friction is incorrect. US SAFE works inside a unified legal system backed by private capital dominance. Europe operates across 27 legal regimes intertwined with public funding constraints.
The result is predictable:
Deals close 3–5x slower than in the US.
Convertible instruments trigger accounting ambiguity.
Founders increasingly execute Delaware flips from day one.
EU Scale is not a branding exercise. It is an infrastructure intervention.
The real constraint is not money. It is standardization.
If Europe does not compress cross-border execution time before the 28th Regime becomes operational, corporate arbitrage will continue. Capital does not wait for harmonization.
📖 Blog recap: https://www.startuprad.io/post/eu-scale-convertible-loan-reform-startuprad-io
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