The Danish Startup Ecosystem Guide - Magasin - Side 56
SEED & VENTURE CAPITAL
allows them to take share in the success of the company as it grows.
In addition to funding, venture capital
investors often provide strategic guidance and support to the startups in which
they invest. They may provide access to
a network of contacts, assist with hiring
key personnel, and provide guidance on
strategic decisions.
However, venture capital also comes
with an expectation of rapid growth. This
can put pressure on startups to focus on
short-term results rather than a building
for long-term value and sustainable growth. For that reason, it might be a great idea
for startup to seek advice from professionals before raising the first investment.
However, venture capital remains an
important source of funding for startups.
It provides startups with access to the
capital, expertise, and networks they need
to grow and succeed.
Rounds in venture capital:
Pre-seed: Typically less than €250.000,
and often provided by friends and family,
angel investors, or early-stage venture
capital firms.
Seed: Typically between €250.000 on and
€2,5 million, and provided by angel investors or seed-stage venture capital firms.
Series A: Typically between €2,5 million
and €10 million, and provided by venture
capital firms that specialize in early-stage
investments.
Series B: Typically between €10 million
and €30 million, and provided by venture
capital firms that focus on growth-stage
investments.
Series C: Typically between €30 million
and €50 million, and provided by venture
capital firms that specialize in later-stage
investments.
Series D and beyond: Typically €50
million or more, and provided by venture
capital firms that focus on large-scale
expansion and preparation for an IPO.
It‘s worth noting that the actual amounts
raised in each round can vary widely
based on a number of factors, including
the industry, the location of the startup,
the stage of the business, and the current
economic climate. Additionally, some
startups may skip certain rounds or raise
larger or smaller amounts depending on
their unique circumstances.
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The Guide