Article · 20 min read

A Guide to Seed Fundraising

Geoff Ralston · Y Combinator Startup Library Free Beginner

The canonical, no-nonsense overview of how seed fundraising works, written by a former YC president who has seen thousands of rounds. It's the single best starting point before you talk to a single investor.

  • Only raise if the capital genuinely accelerates you toward a big outcome; fundraising has a real cost in time and control
  • Decide how much you need to hit a real milestone, and understand the instruments (SAFEs, notes) before negotiating
  • Run fundraising as a focused, time-boxed process rather than a background activity
Open on ycombinator.com ↗

It answers 4 questions

  1. Should I raise venture capital or bootstrap my startup?
  2. What kind of businesses are actually a good fit for venture capital?
  3. Can I build a big, profitable company without ever raising money?
  4. How do I decide the right time to start raising, if at all?

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