Are things any more aggressive than they normally are in the VC community?

Lately I'm seeing companies come under lots of pressure from their venture backers to make their business successful. Part of the reason may be that exit strategies are more limited than they used to be. The conditions that must be met for going public are much more rigorous than they have been in the past. Not only do companies need to have solid financials, they must also have their act together when it comes to things like Sarbannes Oxley. The result is that being acquired is the exit strategy of choice for many companies today.

There are many companies that get caught needing additional funding to grow their business prior to securing a deal to sell their company. Many are not able to meet or accept the conditions that come attached to additional rounds of funding which increasingly include completely washing out the previous investments.

The result is that they have to make the tough call to cease operations and close their doors.