VC firm Sequoia Capital warns of Covid-19 'black swan'

A woman waits to have her temperature checked at the first stage screening post for checking coronavirus disease (COVID-19) at Kyungpook National University Hospital in Daegu, South Korea, March 6, 2020. REUTERS/Kim Kyung-Hoon

SHANGHAI: Sequoia Capital, one of the world's top venture capital firms, sent a note to the founders and CEOs of its companies on Friday describing the coronavirus as "the black swan of 2020" and urging them to brace for coming economic shocks.

The note, which it also published publicly https://medium.com/sequoia-capital/coronavirus-the-black-swan-of-2020-7c72bdeb9753, said the companies should consider cutting expenses, reexamine their spending plans, review their staff numbers and prepare for a changing fundraising and sales environment.