Round of Funding 

A Round of Funding is a stage in which a company raises capital from external investors to support its growth, operations, or strategic initiatives. Each funding round is typically distinguished by: 

  • The valuation of the company. 

  • The type of securities offered. 

  • The investor profile (angels, VCs, private equity, etc.). 

  • The terms of investment (convertible notes, equity, SAFEs, etc.). 

The typical funding stages include: 

  • Pre-Seed and Seed: Initial capital from founders, friends, and early angels. 

  • Series A, B, C…: Formal venture capital rounds for scaling, market entry, and expansion. 

  • Mezzanine and Bridge Rounds: Transitional financing to bridge to an IPO, acquisition, or profitability. 

Each round dilutes existing shareholders to varying degrees but provides necessary cash for scaling operations and hitting milestones.