Silicon Valley is easily one of the best places to build a startup in the U.S., being the home of top business schools, a large pool of tech talent, and plenty of startup resources. However, because there are so many resources to choose from, it can be hard for an early-stage tech startup to pick the funding option that’s best for them.
And that’s why we’ve compiled this list of some of the top venture capital firms, angel investors, and other sources of funding for all stages of a Silicon Valley startup.
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If you’re looking for investment for your startup and you happen to be in the San Francisco Bay Area, then check out this massive list of some of the most important funding sources, regardless of how far along your startup is.
Early Stage Funding
Seed Accelerators in Silicon Valley
Seed accelerators are programs that any early-stage entrepreneur can apply to, and typically invest in companies that participate, usually in exchange in exchange for equity.
First Funding in Silicon Valley
Angel investors invest in early-stage startups or entrepreneurs, and generally provide only a one-time investment to help the business grow. They generally provide more favorable terms compared to other types of investors, since they usually invest in the entrepreneur starting the business, rather than the viability of the business, and are more focused on helping startups take their first steps instead of receiving possible profit they may get from the business. Angel investors sometimes go by other names, including “informal investors”, “angel funders”, “private investors”, “seed investors”, and “business angels”.
Angel Investor Groups in Silicon Valley
Angel investor groups are networks, or syndicates, of investors who pool their resources together to invest in new companies. Most angel networks focus their efforts on members in which members have experience or knowledge, although they are usually open to investments in other areas. In general, investors in groups contribute funds to the group, and a professional syndicate management team chooses the investments.
Growth Stage Funding
Venture Capital Firms in Silicon Valley
Venture capital firms firm provide startup or growth equity capital and/or loan capital to promising ventures for returns that are higher than market interest rates, and typically focus on later stage companies. VC firms generally only invest in companies that have long-term growth potential, like considerable traction, a strong team, and a viable product or service. Because of these high standards, less than .1% of businesses are funded by venture capital.
