Seed capital is a relatively small investment that contributed to a startup at the very earliest stage of the venture.
Of course, when we say “relatively small” we are still talking about some pretty significant figures. A seed round could see anywhere between $50,000 to $2 million raised.
Seed capital is usually a precursor to larger investments that come in rounds and is commonly associated with tech startups.
The amount of seed capital will depend on the business but is always smaller than later venture capital investments.