Alternative sources of capital are limited.Yet the market has its doubts.
"If the company is not able to timely, successfully or efficiently implement the strategies that the company is pursuing to improve its operating performance and financial position, obtain alternative sources of capital or otherwise meet its liquidity needs, the company may need to voluntarily seek protection under Chapter 11 of the U.S. Bankruptcy Code," American Apparel disclosed in its filing.
The Warsaw exchange is in with a fighting chance "if we can provide alternative sources of capital", says Mr Rozlucki.Local attractionsJan Sykora, a partner at Wood & Company, believes there will be a role for local regulators as "gatekeepers to the global market".
In the meantime, support from alternative sources of capital, like crowdfunding, AngelList and accelerators may very well provide the bridge to keep innovation alive in the industry.
After all, amid this low angel activity, digital health startups have already begun to pursue alternative sources of capital, with an increasing number turning to crowdfunding.
Perhaps unsurprisingly, given the dearth of seed and angel investors in digital health, Rock Health found that startups have increasingly begun to turn to alternative sources of capital, like crowdfunding platforms.
"The problem we all are facing is finding alternative sources of capital," adds Shah.
It's never a bad idea, however, for startups in these kinds of situations to look for alternative sources of capital.
For example, when America's banks got into trouble in 1990 as a result of the property bust, capital markets provided an alternative source of finance.
