Understanding Startup Funding Rounds: Series A, B, C, To Infinity

Welcome to the world of startup funding rounds.

Funding can be difficult in the early stages of a business when there is little revenue coming in from the market. As a result, many startup entrepreneurs seek money from angel investors and venture capitalists during critical stages of their company’s development. Fundraising from private equity/venture capitalists may be categorised into seed funding rounds/investment series.

SEED FUNDING: First plant a seed 🌱

If you want something to grow, you must first plant the seeds to do so: a perfect analogy for the first rounds of startup fundraising.

  1. Seed rounds are usually when early VC investors begin to take an interest in a project. By this point you might already have a prototype, reputable advisors and some solid partnerships — but not necessarily. The point is that at a seed round, your project has enough traction to begin attracting the attention of VCs or Private Equity firms.
    Like pre-seed rounds, seed rounds generally give some of the best exposure to young startups in terms of expected returns.

NEXT LEVEL: Series A to infinity ✨

After a seed round, most traditional startups are ready to begin deploying their product to the market. After operating for a while and establishing consistent revenues, they may decide to raise extra capital to expand their operations. If they go down this path, a Series A raise is the first step they take.

Goodluck on your quest!

Traditional vs. crypto fundraising

While there are many similarities between crypto and traditional startups in terms of the way fundraising occurs, there are some important differences to keep in mind.

Surviving the raise 💪

Fundraising is much more than getting money in the bank account — startups need to know how to manage their cash flow so that it’s sustainable and ensure that their fundraising goals align with the state of their startups. At Adaverse, we specialize in preparing African startups for the market by helping develop strong fundraising plans. Together, we work to make sure you don’t just raise capital, but that you raise capital the right way.

Begin with Adaverse

If you need funds to build your business, get in touch with Adaverse today. We are set up to advance African startups with funding during pre-seed and seed funding rounds. We do not only invest funds, we also provide mentorship and technical support for companies that will harness the tools on Cardano’s environmentally sustainable blockchain.

--

--

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Adaverse Accelerator

Adaverse Accelerator

Adaverse is a Cardano Ecosystem Accelerator that aggregates entrepreneurs, strategists and mentors building its most robust foundation in Africa.