Funding
What is Seed Funding?
Seed funding is early-stage investment to help startups grow after initial validation. It typically ranges from 500k to 3 million to scale initial traction.
Definition
Seed funding is investment capital raised after a startup has some validation, whether an MVP, early users, or initial revenue. Seed rounds typically range from 500k to 3 million and are used to hire the initial team, scale marketing, and reach milestones for Series A. Seed investors include angel investors, seed-stage VCs, and accelerators. The goal is achieving product-market fit and growth metrics that justify Series A.
Key Points
- Post-validation investment round
- Typically 500k to 3 million
- Used for team building and scaling
- Goal: reach Series A metrics
- Investors: seed VCs, angels, accelerators
Examples
- 1.2M seed round to hire engineering team
- 2.1M from seed fund after reaching 100k ARR
- 3.500k from accelerator program
Frequently Asked Questions
Related Terms
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