Leaders display the company investment stages that suit their risk appetite. Users use this to find the best partners. Different investment stages have different risk-reward profiles.
The investment stages are defined below:
|
Stage |
Explanation |
|
Pre-Seed Funding |
Ventures don't have an MVP or revenue, but they do have some degree of customer validation. They are seeking capital to get started. |
|
Seed Funding |
Ventures have an MVP/Beta, and maybe some revenue. They are beginning to grow and need capital to improve their offering(s). |
|
Series A |
A venture's offerings are market-ready and have begun to gain traction. Ventures have started demonstrating consistent month-to-month growth and are starting to expand their team. They need capital to optimize the product and business model for long-term profit. |
|
Series B |
Ventures are past the up-hill development stage. They need capital to expand their market reach. Funding is typically to fuel growth and consolidation of existing products and services. |
|
Series C |
At this point, a company is successful and needs to scale. Users might need capital to develop new offerings, enter new markets, or acquire competitors or vendors. Capital is needed to grow the company as rapidly as possible. |
|
Late-Stage Venture |
Nowadays, companies building transformative technologies or novel business models need more time and capital to consolidate and expand markets, in lieu of regulatory or technical resistance. Late-Stage Venture financing is for ventures are raising beyond Series C, such as pre-IPO financing. |
|
Mezzanine Financing |
For debt-equity flexibility, Mezzanine Financing, an instrument between pure equity and pure debt, is needed. |
To avoid miscommunications, the Vintro platform uses these definitions.