Name: Seed Funding for Startups: How to raise venture capital as an entrepreneur
Uploaded: 2020-07-15T01:18:36.000Z
Duration: 11 min 12 s
Description: Thousands of YouTube videos with English-Chinese subtitles! Now you can learn to understand native speakers, expand your vocabulary, and improve your pronunciation...

Adverbs of degree

In this video, we'll look into traction requirements,

pitch decks, some alternative funding sources

I'm the CEO of a company called Slidebean,

and thousands of startups have used our platform

and this is why we get involved with them

and have learned a thing or to about what works,

I know the pain of shutting down this website

is that we wasted so much time trying to find investors,

that we failed to find some fundamental flaws

For Slidebean, we raised a seed round of $800,000

which has allowed us to grow to a team of 25,

I'm telling you this because I want you to trust my advice.

and now I can look back and see why I got a 'NO'

from most of the 142 investors that we pitched.

So now,  let's talk about traction, first.

(Except for Jordan Crook, we absolutely love her).

It gives new founders a false notion of how fundraising works.

an app that just sent notifications saying 'Yo'

and how they raised a $1,000,000 seed round,

that anybody with a couple of lines of code can do.

Most companies raise money AFTER getting traction.

Very few companies raise money  with just a prototype and no users,

raises money without a fully formed founding team.

tech companies that are trying to raise money

This makes no sense in the mind of an investor.

As a CEO, you need to be able to find and convince that guy,

who joins your for the stock and not for the salary;

when he could be making $150,000/yr otherwise.

The reality of startup fundraising today,

is that companies are pitching investors with traction,

Traction usually comes in the form of revenue:

only when you are dealing with millions of users

if you don't have any money to start with?

that we managed to get any decent money to

It was $100,000 from the 500 Startups program,

but we'll talk about accelerators in a minute.

From May 2013 through October 2014 we bootstrapped.

We did part-time consulting so we could pay our bills.

but the backgrounds of the three founders

made up for all the talent we needed at that point.

Our company burn rate was probably $3,500

including our 'salaries' and the services we needed.

while having no idea what's going to happen,

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Seed Funding for Startups: How to raise venture capital as an entrepreneur

eventually

revenue

expect

community