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Under $150,000 for an idea or concept by raising funds from friends and family. Known as “Bootstrapping,” or merely surviving off of the generosity of friends, family, and the depth of their own pocketsbooks. You will also sell to make money and then invest back into the business to grow it onto the next level. Plus, work a paid gig like Home Depot part-time.
$150,000 to $1,000,000 Product testing, prototype development.
Seed money, sometimes known as seed funding or seed capital, is a form of securities offering in which an investor invests capital on a startup company in exchange for an equity stake in the company. Seed money options include friends and family funding, angel funding, and crowdfunding.
$1 ,000,000 to $3,000,000
Serious A round is the name typically given to a company's first significant round of venture capital financing. The name refers to the class of preferred stock sold to investors in exchange for their investment.
$3,000,000 to $8,000,000
Series B rounds are all about taking businesses to the next level, past the development. Investors help startups get there by expanding market reach. There’s already a big pie that’s been cooking up in Seed and Series A rounds. In Series B, venture capitalists have more of a vision around what the pie will look like, and how big of a slice they hope to obtain.
$8,000,000 - $12,000,000 As the operation gets less risky, more investors come to play. In Series C, groups such as hedge funds, investment banks, private equity firms and big secondary market groups accompany the type of investors mentioned above.