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

The Startup Magazine

I will tell you brief details about seed stage funding, and deal sourcing on this page, so read the conclusion until the end. What exactly is the seed funding? The initial official fundraising round is called seed funding, and it comes immediately after the pre-seed investment stage.

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How Investors Think About Valuation of Pre-Revenue Startups

SoCal CTO

A lot of my time is spent helping early-stage companies get to proof points so that they can raise capital. They might have some seed money and are thinking or raising a Series A based on success of an early release (MVP). Bill Payne is an expert on how early-stage investors should look at valuation.

Valuation 198
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A Year in Review: 2016

Version One Ventures

forward revenue in February 2016 (the low), they appreciated by 6% each month for the following six months. At the same time, seed money is still abundant due to the proliferation of micro VC over the past few years. This can set up a perfect storm if early-stage companies don’t manage their expectations and reality properly.

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Startups Should Make Their First Dollar Before They Raise Their First Dollar

ReadWriteStart

The world of startups is a bit like a gold rush right now: there’s lots of money to be made, almost no rules regarding who will make or lose it, and only a few will actually see a sustained profit at the end of the day. Generating solid revenue streams early on will make many of the fundraising problems much easier to handle later on.

Startup 130
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What every entrepreneur should know about financing right now

Version One Ventures

At the same time, funding opportunities have expanded for early-stage start-ups. More money is flowing in from a new crop of angels, newly wealthy from a number of tech IPOs. You need to assess early on if your business is venture-fundable. If not, revenue from your customers will be your best source of financing.

Finance 167
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Timing: When to raise seed funding.

Scalable Startup

High growth startup companies need seed money to get things going. They need the money to rent offices, hire staff, and establish their initial presence (website, incorporation, marketing). At this stage you’re essentially selling yourself and your cofounders. Without funding most tech startups will die.

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Startups Should Make Their First Dollar Before They Raise Their First Dollar

ReadWriteStart

The world of startups is a bit like a gold rush right now: there’s lots of money to be made, almost no rules regarding who will make or lose it, and only a few will actually see a sustained profit at the end of the day. Generating solid revenue streams early on will make many of the fundraising problems much easier to handle later on.

Startup 78