Building Sculpt Nest... • 18h
🚀 10-Day Startup Series 🔥 25th June 2025 🧵 Post 🔟 : Today let's talk about raising funds, most important part of a start-up 👀 🎯 Raising funds doesn't only get money but also growth to your company, choose the right investors too 😉 ( Don't be greedy and run behind any kind of Term-Sheet ). We will talk about complete 0$ to Million$ fundraising. 💡 Why do you need funding ? Do you even need funding ? Ask few questions for yourself -> Can I build the MVP without funds ? ( Most of the MVP can be built without funds ) -> Is money the only thing which is stopping you from starting ? -> Do I need funding to scale or do i need funding to start ? 💡 Suggestion : If you need a validation first, build a MVP and try to seek validation don't wait to raise funds. If you wanna run behind the market and scale it then start to raise funds with a proper product and USP There are different paths of funding for early stage. One y'all know is 👢 Bootstrapping, usually using your savings, fund from your family and start the operation and later using the revenue to scale. Next is 👼 Angel Investors, small investment or medium scale investment usually done by HNIs, Fellow startup founders. Usually at early stage and early revenue stage. Next is as usual VC funding 💰, usually high investments from venture capitalists. Debt funding ( Let's talk in upcoming post, it's not that preferred at the early stages ) Crowdfunding ( Let's talk about it in upcom6 post, and same it is confusing and clustered not preferable ) ( One more path is Grants, usually provided by goverment and few accelerator / incubators. Where at early stages it will be useful for many start-up ) Let us talk about all kind of funding & lemme know which type of funding is better. 1️⃣ Bootstrapping 👢 ✅ 100% ownership ( Peace ) ✅ No investor pressure ( Which is one of the greatest ) ✅ Great for testing ideas ( No stress, if failed repeat again ) Examples: Zoho, Zerodha, Many more...... 🧠 Mostly people use their savings, Earnings from their job and later use the revenue of their own company. 2️⃣ Angel Investors 👼 ✅ Usually invest ₹5L–₹50L ( Sometimes even more ) ✅ Less paperwork, faster decisions ( Sometimes stressful too ) ✅ More trust-based ( Most of the time, not everytime ) ✅ Less stress compared to VC's Where to find Angels ? Right here 🌀Social Media platform like Medial, LinkedIn. 🌀Cold outreach through mails 📬 🌀 Start-up events, networking events 🌀 Few angel networks 😇 Reason they are named angel is they are one who believes in your idea earlier and invest in you, usually HNIs, start-up founders, sometime even mentors do invest with small cheques. 3️⃣ Venture Capital (VC) 💰 Best for scalable, high-growth startups ✅ Access to big cheques ₹1Cr–₹20Cr ✅ Strategic support, hiring help ( Sometimes it might be good support sometimes bad ) ✅ Exposure and credibility ( Like YC, PeakXV, Antler etc.. tags look cool and fancy when raising next rounds 🤣 ) But there comes with advantages too ❌ Dilution of equity ( High most of the times ) ❌ Delay in funding, long process of due diligence ❌ Pressure to follow the targets, pressure to hit the right spots ❌ Headache mental pressure ( if you don't choose the correct one's ) 🧾 Documents Checklist before raising funds ✅ Pitch Deck ( Make it simple and easier to understand, not attractive and complex to understand ) ✅ Financial Projections ( If you are revenue generating, main thing don't lie about valuation or create a Shark tank kind of valuation, hire a proper C.A and figure out your proper Valuation not something if you are gonna raise 20L your valuation is 60L, doesn't work that way it only works on Shark tank not in reality ) ✅ Cap Table ( Mention who plays what role too ) ✅ Problem-Solution Slide ( Main one ) ✅ Traction ( Financial / Product review / Survey etc ) ✅ Startup India or DPIIT Recognition ( This is only necessary for grants & tax free sometimes ) We will talk about many other stuffs about this topic in next upcoming posts ! Any doubt on this topic, any questions please drop it below and engage guy's. Don't just read and leave engage and know more details about it 😉 *This Post adhers to all community guidelines* *The image used below is sourced by Google images and property of Jordensky* *The content is based on personal knowledge and personal research*
Download the medial app to read full posts, comements and news.