SGC Angels

  It is essential to understand the nature of a startup funding round if a founder is about to scale an enterprise. Regardless of whether you are creating some sort of tech platform, starting a consumer product, or trying to get ahead in a conservative industry, the funding landscape can be a daunting process. This guide has divided every step into a step-by-step format and explained how early capital, and in particular startup pre seed funding , becomes part of the big picture. 1. Clarifying Your Vision and Early Needs Founders should have a clear vision, a customer problem, and a minimum viable product (MVP) before any formal funding round starts. Investors will be interested in understanding that your idea will address a practical need and that you can implement it. This phase is typically the bootstrapping phase, where you use your money or little donations from your friends and family to show your idea. 2. Pre-Seed Funding: Building the Foundation The pre-seed round is often m...

  A strong but clear investment thesis of new venture startups is one of the strongest instruments employed by investors to consider new opportunities. In the case of founders, knowing how investors develop such a thesis can be very helpful in raising funds. An investment thesis does not apply as a summary of why a startup should be funded; it is a structured analysis of market potential, competitive advantage, scalability, and payoff. When you understand what the investors seek, then you can place your company in a better position. The following is what constitutes a strong investment thesis of a startup. 1. A Large and Growing Market Opportunity The initial component of a good investment thesis is an obvious, large market opportunity. The investors are concerned that the startup is able to expand and gain a significant market share. An interesting thesis contains: An identified target market. Real market size estimations (TAM, SAM, SOM). Marked signs of increasing demand. Acute ...

  In the world of startup investing, few assets are more valuable than credibility. It takes years to develop and mere seconds to ruin. For investors and syndicate leads, great reputation translates into the difference between good deals knocking on their doors and being completely ignored. Investment syndication is crucial in that, providing a structured way to include investors into funding rounds while sharing both the risk and insight.   Understanding Investment Syndication   Simply put, investment syndication pools multiple investors together to invest in a startup. One lead investor usually sources the deal, does due diligence, and negotiates terms, while others invest money, trusting the lead's judgment. The model opens up more funding sources for startups and allows investors to diversify their portfolios.   More than money, syndication is also about relationships and reputation. With these partnerships, it is natural that an investor perceived to act wi...