8 in 10 startups on the Pittsburgh RealLIST grew funding and revenue streams

RealLIST Startups 2024 in Pittsburgh is underwritten by JPMorgan Chase. Technical.ly is a free news resource thanks to financial supporters like JPMorgan Chase, a Technical.ly Brand Builder client.

Pittsburgh’s most promising early-stage tech companies self-report a strong 2024, despite economic headwinds. 

And they expect to keep growing, according to a recent survey of Technical.ly’s 2024 RealLIST Startups.

Approximately 80% of the RealLIST startups in Pittsburgh that responded to Technical.ly’s survey reported new funding and revenue streams since February, with funds ranging from $30,000 to over $700,000. The funding was just shy of national trends, highlighting the region’s growing momentum in tech innovation and investment. 

“The recognition has not only enhanced our SEO, driving a noticeable increase in website traffic,” Louis Mennel, founder of sustainability startup Carbon Compost, told Technical.ly, “but has also directly contributed to growing our customer base, with new residential sign-ups after learning about our mission.”

Pittsburgh startups see more fundraising, but valuations stall

Across Technical.ly’s markets, nearly 9 in 10 startups on the 2024 RealLIST secured new funding or revenue streams since February. The median funding secured was $460,000. About a quarter of the startups across markets secured venture capital funding, a third received grants or awards and nearly half added new clients, customers or contracts. 

As a result, 53% of startups saw tier valuation increase, with about half saying it increased by more than 50%. 

In Pittsburgh, the trend looked slightly different. 

While a majority of startup respondents cited new clients, customers or contracts as the source of funds, this increase in funding and revenue didn’t correspond to an increase in valuation for most of them. 

Almost all Pittsburgh startup respondents reported no change in their valuation, except financial counseling startup MoneyStack, which saw a more than 50% increase in valuation since February. 

Still, the outlook for next year is promising. Nearly all of the Pittsburgh startup respondents said they would announce a new funding round within the year. This contrasts with only 22% of respondents across Technical.ly’s other markets reporting the same. 

With new hires and products in the works, startups plan for growth

All Pittsburgh startup respondents said they had big plans for the next year, whether that be new hires, partnerships or launching a new product or service. 

The respondents expect to increase staff to go along with that growth. Only a few startups reported staff increases since February, but all of the startup respondents said they expected to increase staff headcount in the next year. 

This somewhat deviated from national trends. Across Technical.ly’s markets, nearly two-thirds of startups added staff since February, with only a few companies decreasing headcount. However, more than 80% of startups expect to add employees over the next year. 

As for where those new employees will work, Pittsburgh’s startups are still opting for hybrid or remote working options.

“We are primarily remote due to the economic costs associated with office space,” Mennel said. “Also, it’s easier than ever to communicate virtually and employees appreciate working from home without the need to commute.” 

A majority of Pittsburgh's startup respondents did not report a change in location since February, with most remaining hybrid or remote. 

While some founders cited hybrid or remote work as their preferred method because of the ease of virtual communication, others said it is beneficial for worker health. 

“For the most part, we believe in flexibility,” said Clark Haynes, founder of Velo AI, “and maintain a healthy balance of work-from-home with in-office work.”