Whether you’re a first-time founder or just VC-curious, here’s your no-fluff guide to the key stages of startup funding:
1. Pre-Seed
This is where it all begins.
You have an idea, maybe an early prototype, and tons of grit.
Funding usually comes from personal savings, friends, family, or angel investors.
At this point, investors bet on you, not just the product.
2. Seed
You’re gaining traction, some users, maybe even early revenue.
Now you need capital to build your team, refine your product, and find product-market fit.
Think of it as watering the seed that’s just started to sprout.
3. Series A/B/C…
You’ve validated the idea, now it’s time to scale.
• Series A: Grow your user base and sharpen your business model
• Series B: Enter new markets and expand operations
• Series C+: Double down, dominate, acquire others
Each round means bigger checks, more expectations, and stronger KPIs.
4. Bridge Round
This is a stop-gap.
It’s temporary funding to get you from one major round to the next.
Bridge rounds help you hit critical milestones without slowing down.
Often raised via SAFEs or convertible notes.
5. Follow-on Investment
Your early investors are back for more.
Follow-on funding shows confidence, they’re doubling down on your growth.
It’s a great signal to the market that you’re on the right track.
6. Exit Strategy
The finish line, or a new beginning.
Exits include:
• IPO: Going public
• Acquisition: Getting bought
• Secondary Sale: Selling shares to new investors
Every investor wants one. You should be thinking about it, too.
Closing CTA:
Which stage resonates with you most, or feels like a mystery?
Drop a comment and let’s unpack it together.
VentureCapital StartupFunding Founders Startups Entrepreneurship SeedFunding SeriesA ExitStrategy
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