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We learned something interesting by running Atrium Scale, a bootcamp for raising Series A funding from VCs: many applicants aren’t ready for a Series A.

They haven’t figured out things like customer acquisition costs, unit economics, business model, and other checkboxes that make a Series A viable. But they still want guidance on general fundraising, meeting investors, and calculating valuations.

They’re often in a good position to raise a seed round.
I’ve raised half a dozen seed rounds in my career as an entrepreneur, and I’ve invested in over 75 companies as an angel.
I’ve personally helped over 100 companies raise their seed rounds while I was a partner at Y Combinator.
These experiences have given me a good perspective on what works and what doesn’t.
Given our findings from Atrium Scale and the appetite for the subject, we wrote the following guide to raising a seed round.

How is a Seed Round different from a Series A?
Seed rounds and Series A are both part of the path for a startup’s success. However, even though these two types of fundraising are different, I see a large amount of founder confusion on whether they are ready for a seed round or a Series A.

While the choice may seem straightforward, it can be tough for a founder to know where their business stands. If they have a solid foundation, a Series A might be more appropriate. If they don’t, a seed may work better. However, it’s tough for founders to suss out what a good foundation even looks like.

Part of the problem is a conflation of the two. Here are the basic definitions for both:
• Seed round – A seed round typically can be anywhere from several hundred thousand dollars to several million, and is raised from seed funds and high net worth angel investors. Usually the startup is expected to use the investment for market research and early product development. Investors are rewarded with stock options, convertible notes, or equity.
• Series A –A typical VC-led Series A is now five to ten million. Series A gets its name from the type of equity investors hope to receive one day– Series A Preferred Shares.
These standard definitions are helpful, but they don’t necessarily help founders determine what fundraising round is right for them.

Are you ready for a Seed Round or Series A?
A Series A often happens after a seed round, but some companies have managed to bootstrap their way to success. These businesses may be able to skip the seed round.
You are probably ready for a Series A if:
• You have compelling metrics (growth, unit economics), …