Marc Rovira’s Post

Trick question - does a Series A always follow your Seed round? ❌ The answer is NO in most cases At least that's what the data from Peter Walker and Carta is showing → 42% of Seed rounds were bridge rounds in Q1 → Only 15% graduate to a Series A in <24 months Which is down from the 31% graduation rate in 2018 and 40% in 2020 The bar is higher now and all of these seed stage companies failed to show enough progress to unlock their Series A and had to raise an extra round - with extra dilution 😞 And this all gets extra tricky when Seed to Series A also sees the highest valuation multiple drop across all of the rounds... So what do you need to show to find your lead for a Series A? (hint: it's not a $1M or even $3M in revenue) Checkout the checklist for the 3 key signals VCs want to see 💪 -- ♻️ Repost to help a founder in your network Click 'visit my website' at the top of this post to register for my free Unlock your Series A session on how to navigate VC expectations in this market

Startups: Want to make sure you move from Seed to Series A? Here are 3 things you must accomplish for investors to write that check from Michael Ho. RPC Strategies, LLC can: 👉 audit your marketing and sales process, operations and technology 👉 insure basic integrations are set up and operate correctly from your website to CRM for lead capture 👉 oversee that CRM modules, fields, follow-up workflow automations, and pipeline reporting are set up correctly 👉 write and leverage your ICPs for targeted prospecting 👉 train you on a well-defined sales qualifying, discovery, and deal-closing process These 5 steps are critical to achieving all three of Michael's Seed-to-Series-A goals. #startups #venturecapital #SeriesA #SeedFunding #investors

Yes! This is exactly where the focus should be in the zero stage. Our #startup building #process utilizes the best of #designthinking, #usercentered #innovation, #data and #analytics to, at minimum, prove these three checkpoints. Showing early traction and potential for scalable growth will hopefully 🤞 attract the right set of early investors.

📍Seed to Series A includes More Bridge Rounds📍 → 42% of Seed rounds were bridge rounds in Q1 → Only 15% graduate to a Series A in <24 months ->Down from 31% graduation rate in 2018 and 40% in 2020 Sources: Peter Walker Michael Ho #capitalraise #bridgerounds #funding #seedrounds #seriesA #womenshealth #femhealth #medtech

Seed to Series A sees the biggest drop in valuation multiples ...and that’s completely normal ✅ Seed stage will always have the highest multiples because investors are paying a premium for future (unknown) growth expectations Series A sees the biggest drop because it’s the first time VCs get to see if those future growth expectations are actually coming true And your multiples will keep dropping at each round as they trend towards to the public market multiples But... As long as you stay on the venture scale path → your revenue multiples will keep dropping → yet your overall valuation will go up So I think it’s important to be clear on those venture scale expectations: → once you hit $1M ARR → can you get to $100M ARR → in 7 to 10 years? And to be clear on the milestones that'll help you get there: → Problem Solution Fit (Seed stage) → Go to Market Fit (Series A) → PMF 1 has scaled (Series B) → PMF 1 and 2 have scaled (Series C) → PMF 1, 2 and 3 have scaled (Series D) Not every company will get all the way there - and that’s okay As long as you understand why those early valuations are artificially high and don’t over capitalize yourself (based on your milestones) you’ll always have options 💪 -- ♻️ Repost to help a founder in your network Click 'visit my website' at the top of this post to register for my free 7 term sheets training session on how to get multiple term sheets from VCs

Again, interesting stats here, not just on fundraising but also on how challenging it is to start and grow a startup business.

Trick question - does a Series A always follow your Seed round? ❌ The answer is NO in most cases At least that's what the data from Peter Walker and Carta is showing → 37% of Seed rounds are bridge rounds → Only 17.6% graduate to a Series A in <24 months All of these seed stage companies failed to show enough progress to unlock their Series A and had to raise an extra round - with extra dilution 😞 And this all gets extra tricky when Seed to Series A also sees the highest valuation multiple drop across all of the rounds... So what do you need to show to find your lead for a Series A? (hint: it's not a $1M or even $3M in revenue) Checkout the checklist for the 3 key Signals VCs want to see 💪 -- ♻️ Repost to help a founder in your network Click 'visit my website' at the top of this post to register for my free 7 term sheets training session on how to get multiple term sheets from VCs

Market Sizing For Founders: Market sizing is a crucial aspect of any startup's journey, as it directly influences your potential scale and ability to attract investment. The "Market Sizing Guide for Founders" provides invaluable insights on how to assess and communicate your market size effectively. Key Questions Answered in the Guide: 1) Why Does Market Size Matter? Understand why venture capitalists prioritize this metric and how it influences their investment decisions. 2) How to Estimate Your Market Size? Learn the value of a bottom-up approach, which multiplies the number of potential customers by the average revenue per customer per year. 3) What is the Exact Definition of Market Size? Skip the jargon and present bottom-up estimates that align with your target market and revenue projections. 4) When Should Market Size Be Estimated? Plan for five or more years into the future to showcase your long-term vision. PS. check out 🔔 for a winning pitch deck the template created by Silicon Valley legend, Peter Thiel https://lnkd.in/ejp-Bhnu

Have you ever considered #angelinvesting, come across terms like SAFE, ARR, MAU and decided to put it off simply because, let’s face it– angel investing is never urgent and your schedule is simply too busy to fall into an endless rabbit hole of Google search? Trust me, we get it. So we decided to make it easy by launching an Investor Glossary Series! This series breaks down the key terms you'll encounter as an angel investor, organized into three parts: ⚒️Investor's Toolkit: The basics every angel investor should know, from what an angel investor is to understanding equity and returns. 📈Due Diligence & Financial Metrics: Learn how to assess #startups, understand financial statements, and key metrics like burn rate and runway. 💲Instruments Jargon: Get to know investment vehicles and structures like convertible notes, SAFEs, and valuation methods.  These videos are short, sweet, and perfect for on-the-go #learning. Tune in every Friday for the next installment, and subscribe to our YouTube channel for instant access to your investor toolkit. Happy learning and angel investing! Subscribe to our Investor Glossary Series here: https://lnkd.in/g4pfgEfB Ready to begin your angel investor journey? Join our ‘First steps towards angel investing’ webinar where we take a hands-on approach to learning the ins and outs of angel investing: https://lnkd.in/g-6qGeXk Maaike Doyer

Very useful information!