Fundraising
Series A
The first significant priced venture round, typically $5-20M, raised once a startup has demonstrated initial product-market fit and a scalable business model.
Series A is the first major institutional venture round with a full term sheet, priced preferred equity, and board representation. Typical check sizes: $5-20M (with large firms writing $20-30M+ for exceptional companies). By Series A, investors expect: a defined product with paying customers, evidence of product-market fit (retention, NRR), early signs of scalable customer acquisition, and a clear use of funds that leads to a Series B-fundable milestone. Series A investors include institutional VC firms (a16z, Sequoia, Accel, Bessemer) as well as specialized sector-focused funds. Conversion rate from seed to Series A is brutal — most seed-backed companies never raise a Series A. Success rate improves significantly for YC graduates.