I am working with a company raising a $10-$15 million B round, with A level funds. They are about to launch their product. Are there any specific items that should be addressed while raising the B round?
Specific Provisions for Raising a Series B Financing?
Answers
Charles:
Same as always :), where are you on your path to profitable growth and how does this round (help) get you there? Clearly you want to show why & how the company is ready, what the benchmarks will be when you launch and how you will measure. If you have any pre-launch proof points those will be highly scrutinized. Other than that, it's the usual host of things you include in pitches: who are the players, why are they investable, what is the product, the market size and your addressable piece of it, go-to-market strategy, etc..
Probably the one thing that's different about a series B is that it means you have had a series A. So what did you do with that $? Was it spent as planned? Did it produce as planned? Are you set to go once you raise the series B funds? In short: were you a good steward of the series A funds and can they trust you to do the same with the next round?
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