This document discusses raising money for a startup through seed rounds and series A funding. It notes that seed rounds typically raise $100k-$1M while series A raises $1M-$5M. It provides tips for investor presentations, including highlighting the problem, solution, financial projections, traction, team, and fundraising goals. It estimates average startup valuations of $1M-$5M and provides an example acquisition scenario where investors receive a 40% return on their investment of $1.5M after a $2M acquisition.

1. Raising Money:
the Good, the Bad,
and the Ugly
Flaviu Simihaian
Co-founder, iMedicare

5. “MEET DEMAND”

6. “SCALE SALES”

10. How much?

12. $1 x 10 = $10

14. SEED ROUND
$100k - $1M

15. SERIES A
$1M - $5M

16. $100k Seed Investment
$300k Revenue
$1M Series A

17. $1M Seed Investment
$1.5M Revenue
$5M Series A

27. Investor PowerPoint Deck
1. Problem
2. Solution
3. Financial Projections
4. Traction / Progress
5. Team
6. Why you are raising $

28. Investor PowerPoint Deck
1. Problem
2. Solution
3. Financial Projections
4. Traction / Progress
5. Team
6. Why you are raising $

50. AVARAGE
VALUATION:
$1M - $5M

52. 100% x $0 = $0

55. $10k investment
at $1M cap
=
1% ownership

59. $2 Million Acquisition
— $220k (Loan + Interest)
— $1.5M (500k Seed + 1.5M Series A)
— $112k (Investor’s share (40%)
= $168K

60. $2 Million Acquisition
— $220k (Loan + Interest)
— $1.5M (Investment)
— $112k (Investor’s share (40%)
= $168K
— 100k-200k (Lawyer Fees)

63. 1 > 1