How does my company get to Unicorn status?

uni·​corn | \ ˈyü-nə-ˌkȯrn

a. a mythical animal typically represented as a horse with a single straight horn projecting from its forehead.

b. something that is highly desirable but difficult to find or obtain.

c. a start-up that is valued at one billion dollars or more

Prior to 2013, definition “c” did not exist. The most widespread story says the term unicorn was coined in 2013 by venture capitalist Aileen Lee, choosing the mythical animal to represent the statistical rarity of such successful ventures. In 2013 around 40 private companies had this status, and today over 120 claim the name of this mythical animal.

A unicorn is now a fairly well known term in the finance and start-up circles. It means a private company has reached a market valuation of $1B or greater, based on its latest round of fundraising.

Companies typically have multiple rounds of fundraising (Seed, Series A, Series B, Series C, etc), and if things are going well, those shares will be sold to investors at a growing valuation in each round. If the latest round happens to sell shares at a valuation $1B or greater, it has achieved UNICORN status.

Now, this doesn’t necessarily mean that the company could IPO or be purchased for $1B or more because, as…