How to Develop a Financial Strategy for Series A Funding

My entire fundraising strategy. My MVF (Minimal Viable Fundraise). In one, short post: Stages and how much to raise: → Pre-seed: $750k–$2m. This gives you enough runway to test multiple strategies and find early product-market fit (PMF). → Seed: $3.6m–$5.7m. Raise enough to hit $300–600k ARR or strong user growth while keeping dilution ~20%. → Series A: $11m–$20m. Prove scalability with solid growth metrics and a clear expansion plan. → Series B: $17m–$48.5m. Focus on market dominance and accelerating revenue without over-diluting. How I prepare for a raise: → Milestone mapping: I plan for 12–18 months of runway with clear, measurable goals tied to each raise to "take out" risk → Pitch deck: Focus on data—traction, unit economics, and why this is the right time to raise. → Investor research: I look for funds aligned with my stage, sector, and vision, then find out who can intro me or where I can meet them IRL (>events). I now use Capwave AI but used to do this manually. → Cap table modeling: I aim to keep dilution around 15–20% per round and run scenarios to protect equity. How I stand out to investors: → Traction focus: I tie every ask to concrete metrics and milestones. Investors want confidence you’ll deliver. → Vision clarity: I articulate the market opportunity and how our solution uniquely addresses it. → Personalized outreach: I research every investor, reference their portfolio, and connect my pitch to their investment thesis. → Strong GTM plan: I show a clear strategy for acquiring, retaining, and expanding customers. Daily habits during fundraising: → Investor follow-ups: I follow up with every meeting within 24 hours, summarizing key points and next steps. → Pipeline tracking: I use Capwave AI to track progress with every investor I contact—emails, meetings, feedback. → Referrals: I leverage my network for warm intros and follow up with a thank-you note or gift for those who help. → Pitch practice: I rehearse my pitch daily, refining based on feedback from investors and peers. How I structure my day: → Fundraising takes priority. I dedicate mornings to investor outreach, afternoons to pitch meetings, and evenings to follow-ups and research. → I make time every day to research investors, analyze feedback, and iterate on my deck or pitch. → I carve out blocks of time to decompress & work on the Biz—fundraising is a marathon, not a sprint. This is how I approach every raise. What’s your strategy?

I've helped dozens of startups raise capital. Here's the most important thing I've learned: Fundraising isn’t about your pitch. 𝐈𝐭'𝐬 𝐚𝐛𝐨𝐮𝐭 𝐲𝐨𝐮𝐫 𝐩𝐫𝐨𝐜𝐞𝐬𝐬. Want to show VCs you can run your startup? Your first chance: running a tight fundraising process. That means you... - Prepare intelligently. - Follow up quickly. - Negotiate wisely. Think about the fundraising funnel holistically. Want to set yourself apart at every step? Here's my top tip for every stage of the journey: 1️⃣ PREPARE: Narrative first, pitch second. Your narrative = what you want to say 📓 Your pitch = how you say it 🗣️ A great narrative clearly communicates: → What your startup is → Strategic milestones for the next round → You have the right tactics to achieve them → You have great odds of executing them successfully Substance beats style every time. Get your narrative right, and the pitch becomes easy. 2️⃣ TARGET: Stop “spray & pray” outreach. Instead, ask yourself: “Which investors would already love my startup?” The answer: Investors who've previously backed startups similar to yours—same market, same business model, same GTM, same stage (but not competitors). ✅ Do this: Find investors from similar startups. ❌ Not this: Cold-emai every VC. Result? More meetings, less wasted effort, and closing capital quicker. 3️⃣ OUTREACH: You don’t need warm intros (seriously!) Investors WANT great deals. Your job is simple: Show them why you’re a compelling opportunity. 4 Pillars of a Killer Investor Email: • Brevity • Personalization • Relevance • Momentum Use them all and you'll book investor meetings without a warm intro. 4️⃣ PITCH: Investors don’t care about your goals. They care if you’ll hit them. Use the GAP Framework in every pitch: → Goals: where you’re headed → Accomplishments: what you've already achieved → Plan: exactly how you'll achieve your goals Balancing GAP demonstrates ambition and credibility. (Bonus tip: send follow up emails after 𝘦𝘷𝘦𝘳𝘺 meeting with action items, document requests, etc. Create a checklist so you never drop the ball. Seems simple, but sets you apart.) 5️⃣ DILIGENCE: Answer the tough questions BEFORE they're asked. To win in diligence, anticipate investors’ questions ahead of time: "What do investors need to believe to fund my startup?" "How can I prove it?" Back every answer with data or trusted third-party validation. (Not just your opinion.) Be ready for anything they throw at you. 6️⃣ CLOSE: Act like a partner, not a negotiator. Many founders blow deals by negotiating like it’s a zero-sum game. Instead, frame every conversation as a win-win partnership. Align incentives faster, close faster... and get better terms. Just remember: fundraising is a funnel. Nail the process, and the money will follow. __ Was this helpful? 👍 like and ♻️ repost it to help other founders! Want help raising capital for your startup? DM me 📥 "RAISE CAPITAL" to see if I can help.

Are you a seed-stage startup aiming for a Series A, but the milestones seem out of reach? You're not alone. According to Carta's Peter Walker, fewer than 15% of startups reach Series A in under 24 months. This isn't changing any time soon. Here are my 3 tips for accelerating your next round, based on experience with Valor VC portfolio, where some of our portfolio startups recently soared from seed to Series A in under a year: 🎯 1. Prioritize growth by focusing on the customer segment that can achieve triple-digit, quarter-over-quarter growth. You may need to "leave some money on the table" today to capture it later. Optimize your sales organization to excel at one type of deal that drives the fastest growth. Avoid selling to multiple customer types and delay targeting slow buyers until after your Series A. It feels scary to cut back on a type of customer you know you can close: do it anyway. You have to focus. 🏃♀️ 2. Run lean, and lean into equity. The seed round you raised was never meant to last 36 months. Adjust by rewarding team leaders who believe in the value of their future equity. Offer generous equity with milestones and vesting schedules, and minimize salaries in favor of bonuses and commissions aligned with customer success. 🛌 3. Foster a culture that supports healthy breaks and a life outside of work. No one can sustain a 36-month sprint. Many great salespeople and CEOs are facing burnout, not due to inability to handle pressure, but because the journey is longer and harder than expected, and the company constantly facing running out of cash can destroy confidence even when you have a plan. So normalize rest and taking a breather (weekends, vacations, hybrid schedules, etc.) to help your team endure the marathon -- and what has actually become the ultra-marathon of startup financing.

Today's post includes a few tips for early stage startups on what to prioritize immediately after closing a seed round from what I've learned at Bread and Butter Ventures: -Set your sights on the future. Do strategic planning for your Series A. Even though you just finished raising, this is the perfect time to do big-picture vision work and granular planning to outline the metrics you'll need to hit for the next round, and plan to work toward that. Outline your KPIs for revenue, growth rate, customer acquisition, churn, hiring, etc and then map resources accordingly to ensure you have enough cash to execute on the plan and build in the necessary time to raise again. -Resist the temptation to do a huge burst of hiring too quickly - continue to focus on capital efficiency. Ensure each hire is the right role and team member to bring onboard. -Resist the urge to build out a sales org too quickly; it's completely appropriate to be in founder led sales mode at seed stage. Once you have a clearly defined, repeatable sales process that's working with founder led sales, scale up from there. When you do hire, ensure a 30/60/90 day success plan. -Communicate proactively and regularly with your investors. This is so important!! We recommend a one-time all-investor kickoff huddle so your cap table can get to know one another and collaborate. -Lean into building company culture - it's so important in these early days to establish a strong foundation. What would you add? #venturecapital #seedstage #entrepreneurship