A simple explainer on Startup Funding:

1. Pre-Seed: When a business first starts, one needs to put in a bit of capital. This comes from [3F=Friends, Family or Fools] or the founders.

2. Seed: A firm raises the money to finance the first phase of growth - eg. market research, product development. Note: the Seed rounds are mostly sold on ideas, than the actual product.

3. Series A: ($2Mn to $15Mn); at this stage some key products are already raking money. The Series A is used to add fuel to the fire and turn on the money making machine.

4. Series B (~$30Mn): This is also 'scaling up money', but the difference from Series A is that this round brings investors that specialise in late stage investing. So the startup might get more strategic help.

5. Series C (~$varies): The company is already a money-making machine. This money can help it become a Godzilla. The firm gets the leeway to acquire other firms and expand quickly to other regions/product types.

Credits: Akshat Shrivastava