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Fundraising

Venture Capital

Firms that invest other people’s money into high-growth startups in exchange for equity, expecting a small number of large wins.

Example

A VC fund investing ₹8Cr for 15% expects that stake to be worth many times more in 7–10 years.

Related terms

Dilution
When new shares are issued (to investors or employees), each existing owner's percentage of the company shrinks — even though the company is usually worth more overall.
Angel Investor
An individual who invests their own money into very early startups, usually in smaller amounts than a fund.
Seed Round
Usually the first meaningful outside money, raised to find product-market fit rather than to scale.
Series A
The round after seed, raised once you have proof the model works and want to scale it. Investors expect real numbers, not just a story.

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