Funding rounds are stages in which a business raises capital from investors to support its growth. Each round represents a different phase of the company’s journey and comes with specific goals.
- Seed Round – The first stage, where early capital helps test an idea, build a prototype, or launch initial operations.
- Series A, B, C (and beyond) – These rounds typically involve larger investments as the business scales. Series A often focuses on expanding the product and customer base, Series B supports growth and market reach, and later rounds fund large-scale expansion or preparation for going public.
- Bridge or Mezzanine Rounds – Short-term funding used between major rounds, often to prepare for an IPO or acquisition.
Funding rounds matter because they don’t just bring in money — they also bring in investor expertise, connections, and validation that can help move a business forward.