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.
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The amount of seed capital will depend on the business but is always smaller than later venture capital investments.