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Seed Stage Funding 101: What it Is & How it Works

The Startup Magazine

Seed capital is a component of the initial investments made in young businesses. Some return value must be offered to the investors for startup seed funding to be considered acceptable. This could be a proportion of the company’s equity or investment; in other instances, it could be a portion of its later-stage profits.

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Watch out for the most common scam in startup world?—?Sputnik ATX

Austin Startup

It may be they offer a so-called, proven method to develop fundraising decks (laughable, when you can get the best advice free from YC), or perhaps an introduction to a prospective investor or customer. Another red flag is when a SIC member asks for equity in your company upfront, without any performance vesting standards.

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How Much Seed Capital Should You Actually Raise?

View from Seed

(My partner Rob has a great piece on understanding and optimizing towards value inflection points at a seed-stage startup here.) For instance, are you anticipating that big, key customer in less than a year? The post How Much Seed Capital Should You Actually Raise? Don’t raise as much. Account for optics.

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NextView’s Greatest Hits

View from Seed

Magic Graph: How Much Seed Capital Should You Raise? “At some point, an entrepreneur begins to exhaust her network, and her network’s network, and the incremental hours devoted to fundraising will begin to yield less capital raised than the previous.” ” (Lee Hower). ” (David Beisel). ” (Rob Go).

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The 5 Key Stages of Equity Funding

Growthink Blog

When seeking equity investments, the source of capital is, for the most part, tied to the stage of capital being raised. You see, equity capital is raised in stages or rounds. Pre-Seed Funding 2. Seed Funding 3. The five main stages include the following: 1. Series C, D, etc.

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The Rise of Chinese Venture Capital – (Part 3 of 5)

Steve Blank

The first wave of startups began when R&D centers and universities began to provide the technology and seed capital for new startups that were spin-outs or spin-offs. Fast forward a decade, today the Private Equity and Venture Capital business is booming in China with over 1000 firms actively investing.

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Are You Waiting For Capital To Launch Your Startup?

YoungUpstarts

Most businesses – online or offline, need seed capital to get established and without access to these funds, launching a business can seem like an improbable dream. That seems like a lot of capital. In the early stages of business, sweat equity can often be a good substitute for cash. Find a cofounder.

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