Today, we’re talking about the 3 plans you need for Seed fundraising.
Plan A — This is usually a $1–3M fundraise that will last approximately 1.5 to 2.5 years. You should present this plan to Seed funds, ie those writing checks from $500k-$2M, and once you have momentum say $500k of your round raised, then you can present it to small checks too.
Plan B — usually a $250k to $1M raise. You might expect this to last 9–12 months and take you to the next milestone, so you’ll be ready to raise your Plan A round. I would suggest presenting this plan to smaller check writers — $250k or less — until you have $500k+ raised.
Lastly Plan Big VC. Usually $4M+ and lasting 2–3 years. When you’re seed fundraising, you might encounter larger VCs who want to meet. If you present a $2M round to them, it will almost certainly result in a no. Instead of wasting that meeting — present a plan that fits with the larger VCs usual check size.