How to Succeed at Every Stage of Startup Fundraising
Expert advice and real-life examples
It’s easy to be confused by the various startup funding stages, and no one can blame you — they are subjective. Use the blurred lines to your advantage by understanding the pros and cons of each category so that you can choose which stage you want to be considered, control the narrative accordingly, and get funded.
So how do you determine which funding stage you are, and how to build a pitch that will be successful? Let’s dive in.
Angel
As early as it gets, angel funding gives you the capital to turn your idea into a company. These investors are called angels for a reason, as they give money often with little to go on but an idea or team. This group includes non-professional investors aka “unsophisticated investors” (like friends and family), mentors, newer investors, and dedicated angel investors. You can get away with more at this stage than with any other stage since you have nothing to show that can be fundamentally analyzed, but that comes with a price as you are selling equity at a lower valuation instead of showing some traction first and…
