Understand how early-stage fundraising works.
A current and comprehensive resource for entrepreneurs, with technical detail, practical knowledge, real-world scenarios, and pitfalls to avoid.
- 310-page online book
- 55+contributors
- 779+links and references
- Digital access to this title in the Holloway Reader
- Downloadable PDF for personal offline use
Everyone should have access to expert knowledge.
Venture capital is a powerful tool for entrepreneurship—one that can help overcome some of the numerous challenges of starting and scaling a new business. But the path of deciding if, when, and how to raise early-stage venture capital is navigated most easily by those with past experience, insider knowledge, and the right connections. It’s notoriously easy for founders to take wrong turns in their path to successfully finance a company.
The lead author of this Guide, Andy Sparks, raised $17M for his last startup—having failed to secure any funding for his first company. He’d moved to Silicon Valley without a network, and spent the next four years piecing together how fundraising works, from hundreds of conversations, countless hours of internet searches, and multiple $900 sessions with lawyers.
Learning how to fundraise doesn’t have to be so painful—or so costly. Anyone aspiring to build a company should have access to the experiences and knowledge of those who have gone before. We’ve pulled together 40 experts—lawyers, founders, and investors—to build a practical Guide that helps founders approach the process with confidence.
Does this sound like you?
- I just got off the phone with my lawyer about my term sheet, and still feel confused about what participating preferred and full ratchet mean. I wish this stuff were just written down.
- What’s the difference between a managing director, partner, venture partner, principal, associate, or an analyst in a VC firm? Who should I be talking to?
- We aren’t in a standard tech hub like Silicon Valley or New York City, and don’t know any investors. Where do we even start?
- I’ve read blog posts about founders deciding against raising venture capital. How do I know whether raising venture capital is a good idea for my business?
Table of Contents
Researched, written, and edited by experts.
Written by practitioners. Edited by professionals.
Get lifetime access now.
Read with Holloway.
More than words on a page.
We believe the reading experience for book-length resources can go beyond paper or e-books. Reading on Holloway means a distraction-free, interactive format to help you find what you need, when you need it, in your browser. Digital access to a Guide also means access to ongoing new content, curated commentary from experts and readers, and features like search and bookmarks.
Over 120 definitions of key terms
Definition Product-market fit (product/market fit or PMF) refers to the notion that there is a point at which a given market responds so positively to a company’s product that the product “fits” the market’s needs. A precise point at which “fit” has been achieved does not exist. Instead, product-market fit represents a continuum of traction that ranges from absolute clarity that a company does not have product-market fit to maybe they have product-market fit to experts disagree whether they have product-market fit all the way to it’s beyond all doubt they have product-market fit.
Find what you want, when you need it
Pitfalls and confusions highlighted
danger️️ Even if you’ve negotiated a cap on the portion of your investors’ legal fees you’re responsible for covering, your counsel’s fees can get out of control if you aren’t careful. If your lawyers are arguing about anything meaningful, you should tell them to bring it to you before it goes back and forth between different legal teams more than once.
confusion Not everyone has embraced the pre-seed term, which some consider overly specific and constraining. Until recently, a company’s earliest institutional investors were simply called seed stage firms. Some firms that consider themselves seed-stage will invest pre-product, all the way up to the last check before a Series A round.
controversy A warm intro from a close friend or colleague never hurts.* But not everyone agrees you need to be close with the person making the intro. So long as the introduction is credible, it can be a good start, even if it’s not necessarily an endorsement.*
Visual presentations
Loading chart…
Why pay for a Guide?
At Holloway, we imagine a place on the web where depth, quality, and high-value writing are the norm. A place where experts’ ideas are accessible to anyone. Where thoughtful, inclusive, and well-written resources win over quick takes, self-promoting blog posts, and content marketing.
We believe you, the reader, know the difference. It’s 2019. You recognize sites riddled with ads and clickbait headlines. Deep and comprehensive resources take expertise, time, and money to build. By buying access to a Guide, you’re supporting a place online that makes longform reading a pleasure—and allowing us to pay authors, contributors, engineers, and editors who build and improve them. We see Holloway as a new and powerful way to publish. We hope you’ll join us on the journey.
Reviews
Frequently Asked Questions
What exactly am I buying?
Every title sold on Holloway.com is a one-time purchase for full digital access. That means you get lifetime access online for that title on the web, using the Holloway Reader. That also includes future updates from the author or editors. Finally, you get a PDF download for offline use.
What is the Holloway Reader?
The Holloway Reader lets you read and engage with books bought on Holloway. It is the most advanced reading experience for books on the web—you use it right in your browser, on desktop or mobile. In contrast to ebooks and paper books, online content in the Holloway Reader is always up to date, including updates when changes to the content are made, like responses to reader questions, new data, or new developments. It includes expert commentary in the margins and offers bookmarks and highlights, instant definitions of technical terms from a glossary, instant previews of links and footnotes, and a powerful search capability only available on Holloway titles—and we have a lot more on the way.
Do you sell print books?
For a few titles, yes, you can buy paperback editions directly on Amazon. We believe the web is the most flexible interface for reading—but we know it won’t replace the satisfaction or practicality of print for some people. Current paperback titles include Ask Me This Instead, The Holloway Guide to Technical Recruiting and Hiring, and Angel Investing: Start to Finish and more are on the way. (Stay on our mailing list to get notified when new ones are out!)
Can I get a Holloway title as a download?
Yes. A majority of our readers take advantage of the Holloway Reader because of its power and convenience, but you have other options as well. If you buy a title, you get a PDF that you can download and keep to use on any of your own devices—or even print it if that’s your thing. If you care about design, you’ll be pleased that it’s formatted using the same quality of typography you’ll find in books. (Just please don’t share or republish downloads.*)
Do I have to be online to read?
To access the Holloway Reader, you need a connected browser. It works for desktop and mobile (iOS and Android) browsers. If you’ll be offline to read, you can save and use the PDF download on your device or laptop. PDFs also work on Kindle.
Are there any discounts?
Before a book is released, it may be available for pre-order. By pre-ordering a title, you’re supporting us and our authors in their work. Pre-ordering also gets you early access to authors, a discount, and other perks. We also offer student discounts to individuals with a valid .edu email address.* And stay on our mailing list! We send updates about our titles, as well as seasonal discounts and other special deals.
I have more questions!
Don’t we all. We’d love to hear from you at hello@holloway.com.