The stages of financing a startup. Information by Wikipedia

1. VENTURE
CAPITAL
FINANCING
MADE FOR PULSEMAPP TEAM FOR
EDUCATIONAL PURPOSES
Information provided by Wikipedia

2. VENTURE CAPITAL FINANCING
PROCESS
There are five common stages of venture capital
financing:
1. The Seed stage
2. The Start-up stage
3. The Second stage
4. The Third stage
5. The Bridge/Pre-public stage

3. THE SEED STAGE
• setup stage where a person or a venture approaches an angel investor or an
investor in a VC firm for funding for their idea/product
• investor will investigate into the technical and the economical feasibility (Feasibility
Study) of the idea
• some sort of prototype of the idea/product that is not fully developed or tested

4. • A business plan is presented to
the VC firm
• A management team is being
formed to run the venture
• a person from the VC firms will
take seats at the board of
directors
• prototype is being developed and
fully tested
• In some cases, clients are being
attracted for initial sales
• establishes a feasible production
line to produce the product
• market research to see whether
the market size is big enough
• create a realistic forecast of the
investment needed
THE START-UP STAGE

5. • idea has been transformed
into a product and is being
produced and sold
• tries to get some market
share from the competitors
• minimize their losses in
order to reach the break-
even
THE SECOND STAGE

6. • expansion/maturity phase
of the previous stage
• expand the market share
• selling more amount of
the product and having a
good marketing campaign
• cut down their production
cost or restructure the
internal process
• SWOT analysis
• follow-up products and
services
• expand the life-cycle
THE THIRD STAGE

7. • last stage of the venture
capital financing process
• venture achieves a certain
amount of market share
• This gives the venture some
opportunities:
Merger with other companies
Keeping new competitors away
from the market
Eliminate competitors
• examine where the product's
market position
• reposition it to attract
new Market segmentation
• introduce the follow-up
product/services to attract
new clients and markets
THE BRIDGE/PRE-PUBLIC STAGE

8. FEEL THE PULSE, ANYWHERE!