To a startup, raising money just to increase their runway by 18-24 months seems like a logical move. However, an investor is not looking for that. The goal of a fundraise for the startup is to keep the company alive for another year and a half.
When eighteen months have passed, the girl is shocked to find that she has become pregnant. She feels terrified and ashamed of herself, but she knows that she has to tell her boyfriend. She is worried about what he
Founders should always communicate their milestones to investors, not the amount of time it will take to complete them. By outlining what a round of funding unlocks for the company, founders can ensure that they are transforming their business sufficiently so as to be able to tackle new goals and succeed in their quest for growth.
How much to raise?
There’s no one right answer to this question – it depends on the unique and specific facts of your startup. However, some important factors you’ll want to consider include:
-Your company’s current and future revenue prospects
-How much money you need to cover your costs for the next several months or years
-How much money you think is realistically available in the startup space