Startup Funding Benchmarks

Deal terms, and the requirements to raise startup funding, are constantly in flux. The below metrics reflect what we are seeing across dozens of deals per month, and across most major geographic markets and industries.


Startup Funding Requirements & Milestones

The below are the average milestones and deal metrics we are observing across the globe on the date displayed.

Please note these figures are an approximate average, since deals vary widely across geographic markets, industries, and companies. In the end, a company is worth what an investor/ acquirer is willing to agree it is worth and the below should only be used as a baseline guide.

Last Updated on Jan 5, 2024 @
Pre-Seed Customer Validation + Early Users
Seed Product-Market Fit
Series A Expansion
Growth Rate
Pre-Seed 0 - 20% MoM
Seed 15% - 30% MoM
Series A 25%+ MoM
Monthly Revenue
Pre-Seed $1 - $50k
Seed $50k - $200k
Series A $200k+
Team Size
Pre-Seed 2+
Seed 10+
Series A 20+
Pre-Seed MVP (with users)
Seed Robust
Series A Commercial
Pre-Seed F&F, Seed Accelerators, Angels, Pre-Seed/ Micro VC Funds
Seed Seed Accelerators, Angels, Seed VC Funds
Series A Series A/ Growth VC Funds, Existing Investors
Round Size
Pre-Seed $25k - $1m
Seed $1m - $5m
Series A $5m+
Company Valuation (Pre-Money)
Pre-Seed $1m - $5m
Seed $5m - $15m
Series A $20m - $50m
Investment Vehicle
Pre-Seed SAFE/ Convertible Note
Seed Priced Round
Series A Priced Round
Equity Sold
Pre-Seed N/A (convertible)
Seed 20-25%
Series A 15-20%

Startup "Traction" Metrics

In general, investors invest in "traction" over ideas. But the definition of "traction" changes across industries, and over time. The below are the average traction metrics/ milestones we are observing across the globe on the date displayed.

Last Updated on Jan 5, 2024 @
Marketplaces/ eCommerce
Pre-Seed Traction $5k - $500k Transaction Revenue
Seed Traction $250k - $2m Revenue Run Rate
Series A Traction $5m - $20m Revenue Run Rate
Consumer Audience
Pre-Seed Traction Demonstrable Customer Demand, 5k+ DAUs, Great Retention
Seed Traction 25k - 100k DAUs, Network Effects, Retention
Series A Traction 500k+ DAUs
Pre-Seed Traction Paid Pilots
Seed Traction $20k - $100k MRR
Series A Traction $200k MRR, 12 months of Cohort Data
Deep Tech
Pre-Seed Traction Strong Leadership, PoC, GitHub Stars
Seed Traction Strong Leadership, PoC, IP, GitHub Stars
Series A Traction Commercial Validation

Current State of Funding

Jan 30, 2024

In 2024 we expect a gradual stabilization of the startup funding landscape. Despite a decline from the highs of 2021/ 2022, the market is not in dire straits, especially for the earliest-stage startups. The current scenario is similar to the pre-bubble levels of 2019, which was a robust year for VC funding. However, the decrease in funding is more pronounced in later-stage startups (Series A and later rounds), a direct result of the inflated valuations seen in the bubble.

To successfully fundraise in 2024, entrepreneurs must showcase traction, and this includes pre-revenue startups. Utilizing technologies like AI to enhance efficiency is strongly encouraged. For startups with traction, a focus on growth and clear planning towards meeting future funding round metrics is crucial. Pitch decks need to emphasize a compelling narrative, and entrepreneurs should be prepared to pitch to a large number of investors for both feedback and potential leads (100+).

Despite these challenges, our overall outlook for 2024 is optimistic, and we expect funding at the earliest stages to continue its resilience. We also expect the IPO market to strengthen in 2H 2024, which would strengthen the market for later stage funding as we approach 2025.


The Founder Institute is the world's largest pre-seed startup accelerator, with over 7,000 portfolio companies spanning 100 countries. Our data is derived from working closely with FI Alumni on their financing efforts on a daily basis, and observing dozens of term sheets and deals per month. In addition, this data leverages feedback from the FI Venture Network (a network of investors that participate in the earliest startup funding rounds) and our sister company, VC Lab (the leading accelerator to launch new venture funds).

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