Sun, 8 December 2019
Every day I ask entrepreneurs how much they are raising.
Most begin with the big number--the full and complete raise they anticipate to run. This ranges usually between $1m and $10M.
It’s good to have the big picture in mind.
Some actually consider raising it all at once because “they want to get the fundraising out of the way.” I remind them that raising too much money on a round will cost you equity that you don’t have to give up.
Your valuation is low at the beginning. It’s best to raise only the funding you need to reach the next milestone, and no more. As you grow the business, your valuation will go up and you’ll give away less equity.
Consider breaking your fundraise into tranches. It will save you time and make each fundraise easier.
Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.
Let’s go startup something today!
Direct download: Startup_Funding_Espresso_--_How_much_should_you_raise.mp3
Category: -- posted at: 6:37pm CST