# Fundraising Process

> Guides founders through the fundraising lifecycle from pre-seed to Series B, covering stage benchmarks, an 8-week execution timeline, and preparation checklists for pitch decks, financial models, and data rooms.

- Skill: `moonklabs/fundraising-process` (Agent Skill)
- Install (CLI): `npx skillmds@latest add moonklabs/fundraising-process`
- Raw SKILL.md: https://api.skillmd.com/api/skills/moonklabs/fundraising-process/raw
- Safety review: PASS (external: skill-scanner PASS, skillspector PASS)
- Works with: Claude Code, Claude.ai, OpenAI Codex
- Category: Finance & Business, Coding & Dev Tools
- Tags: Data Room, Financial Model, Fundraising, Pitch Deck, Pre Seed, Seed, Series A, Series B
- Author: moonklabs (https://skillmd.com/u/moonklabs)
- Updated: 2026-08-22
- Page: https://skillmd.com/skills/moonklabs/fundraising-process

---


# Fundraising Process

Fundraising lifecycle from pre-seed through Series B, stage benchmarks, 8-week execution timeline, and preparation checklist.

## How It Works

```
┌─────────────────────────────────────────────────────────────────┐
│                  FUNDRAISING PROCESS                             │
├─────────────────────────────────────────────────────────────────┤
│  Information Provided                                           │
│  ✓ Lifecycle by stage: Pre-seed → Seed → Series A → Series B  │
│  ✓ Stage benchmarks: traction, valuation, check size, dilution│
│  ✓ 8-week timeline: execution plan by week                     │
│  ✓ Prep checklist: pitch deck, financial model, data room     │
│  ✓ Common mistakes & anti-patterns                            │
└─────────────────────────────────────────────────────────────────┘
```

---

## Fundraising Stage Lifecycle

### Pre-seed

**Characteristics:**
- Idea → early product
- Founder-led, Friends & Family, angels
- Invest in team and vision, not validation

**Typical Benchmarks:**
| Item | Range |
|------|-------|
| **Amount Raised** | $100K - $500K |
| **Valuation** | $1M - $3M (post-money) |
| **Dilution** | 10-20% |
| **Timeline** | 2-4 months |
| **Traction** | MVP, early users (<100) |
| **Team** | 1-2 co-founders |
| **Investors** | Angels, F&F, early-stage VCs |

**Focus at This Stage:**
- Validate problem-solution fit
- Build MVP
- Acquire first customers
- Assemble team

---

### Seed

**Characteristics:**
- Search for product-market fit
- Seed funds, angels, some VCs
- Need to prove initial traction

**Typical Benchmarks:**
| Item | Range |
|------|-------|
| **Amount Raised** | $500K - $3M |
| **Valuation** | $3M - $10M (post-money) |
| **Dilution** | 15-25% |
| **Timeline** | 3-6 months |
| **Traction** | PMF signals, $10K-$50K MRR (SaaS) |
| **Team** | 3-5 people |
| **Investors** | Seed funds, angel syndicates |

**Focus at This Stage:**
- Achieve product-market fit
- Build repeatable customer acquisition channel
- Prove early unit economics
- Expand core team

---

### Series A

**Characteristics:**
- Prove PMF → start scaling
- Institutional VCs, lead investor required
- Repeatable business model

**Typical Benchmarks:**
| Item | Range |
|------|-------|
| **Amount Raised** | $2M - $15M |
| **Valuation** | $10M - $50M (post-money) |
| **Dilution** | 20-30% |
| **Timeline** | 4-8 months |
| **Traction** | $100K-$300K MRR (SaaS), clear growth |
| **Team** | 10-25 people |
| **Investors** | Tier 1/2 VCs |

**Focus at This Stage:**
- Build repeatable growth engine
- Demonstrate unit economics health
- Create scalable GTM
- Build leadership team

---

### Series B

**Characteristics:**
- Prove scale → market leadership
- Large institutional VCs, growth funds
- Establish competitive advantage

**Typical Benchmarks:**
| Item | Range |
|------|-------|
| **Amount Raised** | $10M - $50M |
| **Valuation** | $50M - $200M (post-money) |
| **Dilution** | 15-25% |
| **Timeline** | 6-12 months |
| **Traction** | $1M-$3M MRR (SaaS), strong growth rate |
| **Team** | 50-100 people |
| **Investors** | Top-tier VCs, growth funds |

**Focus at This Stage:**
- Establish market leadership
- International expansion or new markets
- Expand product lines
- Scale organization

---

## 8-Week Fundraising Timeline

### Pre-Execution (Week -4 ~ -1)

```
Week -4:
□ Define fundraising strategy (target amount, dilution, investor types)
□ Start IR material prep (pitch deck, financial model, data room)
□ Request intros from existing investors/advisors
□ Start deal sourcing (build target VC/AC list, ~100)

Week -3:
□ Complete pitch deck v1
□ Finish financial model (3-scenario)
□ Draft data room (incorporation, contracts, IP)
□ Thesis matching → prioritize 30 target investors

Week -2:
□ Practice pitch (with advisors, mentors, friends)
□ Prepare 30 anticipated Q&A
□ Complete data room
□ Start securing warm intros (top 10 priority targets)

Week -1:
□ Final pitch deck version
□ Confirm 10 warm intros
□ Prepare outreach sequence (Day 0/5/10/21)
□ Verify runway (minimum 6 months)
```

### Execution Phase (Week 1 ~ 8)

```
Week 1: Launch Outreach
□ Contact top 20 priority investors
□ Send 10 warm intros
□ Send 10 cold emails
□ Start tracking response rates

Week 2: Early Meetings
□ First partner meetings: 5-10
□ Collect feedback, adjust pitch
□ Add 20 more follow-up outreach
□ Confirm 3x pipeline coverage

Week 3-4: Accelerate Meetings
□ Partner meetings: 10-15/week
□ Identify interested investors (3-5)
□ Request partner consensus meetings
□ Update DD materials

Week 5-6: Conduct Due Diligence
□ DD with 3-5 interested investors
□ Provide data room access
□ Handle reference checks
□ Confirm lead investor

Week 7: Term Sheet Negotiation
□ Receive term sheet from lead investor
□ Legal review (lawyer required)
□ Negotiate conditions
□ Secure final commitments from other investors

Week 8: Closing
□ Sign term sheet
□ Complete final paperwork (SPA, SHA)
□ Wire funds received
□ Prepare public announcement
```

---

## Stage-Specific Prep Checklist

### Pitch Deck (Required)

```
□ Cover slide (company name, tagline, logo)
□ Problem (3 key pain points)
□ Solution (product screenshots, key features)
□ Market opportunity (TAM/SAM/SOM)
□ Product (demo, customer flow)
□ Traction (key metrics, growth chart)
□ Business model (revenue structure, pricing)
□ Competitive analysis (positioning map)
□ GTM strategy (channels, CAC, LTV)
□ Team (founders, key members, advisors)
□ Financial forecast (3 years, 3-scenario)
□ Investment ask (amount, use of funds, milestones)

Appendix:
□ Detailed financial model
□ Product roadmap
□ Customer case studies/references
□ Detailed competitive comparison
```

### Financial Model (Required)

```
□ 3-scenario (Base/Bull/Bear)
□ 5-year P&L (monthly first 2 years, quarterly remainder)
□ Revenue model (cohort-based)
□ Cost structure (COGS, S&M, R&D, G&A)
□ Unit economics (CAC, LTV, Payback)
□ Cash flow & runway
□ Use of funds plan
□ Key assumptions documented
```

### Data Room (DD Stage)

```
□ Corporate Documents
  - Articles of incorporation, cap table, shareholder list
  - Previous investment agreements (SAFE, convertible notes, SPA)

□ Financial Info
  - Income statement (monthly, past 2 years)
  - Balance sheet
  - Bank statements

□ Contracts
  - Customer contracts (top 3-5)
  - Vendor contracts
  - Lease agreements

□ IP & Legal
  - Patents, trademark applications
  - Open source license audit
  - Founder vesting agreements
  - Employee IP assignment agreements

□ HR
  - Organizational chart
  - Key team member resumes
  - Stock option pool

□ Product
  - Product roadmap
  - Technical architecture documentation
  - Security certifications (if any)
```

---

## Fundraising Pipeline Management

### 3x Coverage Rule

Fundraising is a funnel. Low conversion rates require sufficient pipeline.

```
Conversion Rate Benchmarks:
- Discover → Contact: 50-70%
- Contact → Meeting: 20-30%
- Meeting → DD: 30-40%
- DD → Term Sheet: 20-30%
- Term Sheet → Close: 70-90%

Overall Conversion: 1-3%

Example:
Target: $2M, avg check $500K → need 4 investors
3x coverage: 12 in DD stage
Work backward: 40 meetings, 130 contacts, 200 discovery
```

### Pipeline Stage Management

| Stage | Target Count | Actions |
|-------|-------------|---------|
| **Discovery** | 200 targets | Deal sourcing, thesis match |
| **Contact** | 100-130 | Outreach sequences |
| **Meeting** | 40 | Partner meetings, collect feedback |
| **DD** | 12 | Data room access, references |
| **Term Sheet** | 4-6 | Condition negotiation |
| **Close** | 4 | Final paperwork, wire funds |

---

## Common Mistakes & Anti-Patterns

### ❌ Mistake 1: Start Too Late

**Problem:** Start when only 3 months of runway left
**Why risky:** Fundraising = 4-8 months; rushing leads to bad terms

**Right Approach:**
- Start prep when 12 months runway remains
- Begin outreach when 9 months runway left
- Maintain 6-month buffer

---

### ❌ Mistake 2: Insufficient Pipeline

**Problem:** Only 2-3 interested investors in conversation
**Why risky:** Lose one = round fails

**Right Approach:**
- Maintain 3x coverage
- Engage minimum 12 investors in parallel
- Continuous deal sourcing

---

### ❌ Mistake 3: Under-Prepared Materials

**Problem:** Only pitch deck; no financial model or data room
**Why risky:** DD delays → lost investor confidence

**Right Approach:**
- Prepare all materials starting Week -4
- Organize data room early
- Prepare answers to 30 anticipated questions

---

### ❌ Mistake 4: Wrong-Fit Investors

**Problem:** Approach "any VC"
**Why risky:** Response rate < 5%, waste of time

**Right Approach:**
- 4-dimension thesis match (sector·stage·check·geography)
- Focus on HIGH fit only
- Use portfolio reverse sourcing

---

### ❌ Mistake 5: No Lead Investor

**Problem:** Multiple investors say "follow-on" only
**Why risky:** No lead = round doesn't close

**Right Approach:**
- Secure lead investor first (check size 50%+)
- Finalize lead terms (term sheet, valuation)
- Then recruit follow-on investors

---

### ❌ Mistake 6: Valuation Obsession

**Problem:** Maximize valuation, ignore bad terms
**Why risky:** Bad terms (high liquidation preference, ratchet) cause bigger problems later

**Right Approach:**
- Balance valuation + terms
- Check liquidation preference, anti-dilution, participation
- Maintain long-term cap table health

---

## Korea-Specific: Government Programs (TIPS, K-Startup)

### Government Programs

| Program | Available Funding | Characteristics |
|---------|------------------|-----------------|
| **TIPS** | $300K-$1M | Angel matching, government R&D support |
| **K-Startup** | $100K-$500K | Korean Startup Foundation, demo days |
| **SME Promotion** | $200K-$1M | Policy loans, low-interest financing |

**Strategy:**
- Combine private VC + government programs
- Government support = non-dilutive capital
- Note: More reporting and obligations required

---

## Related Skills and Commands

- **deal-sourcing** — Investor discovery methodology
- **investor-research** — Deep research on specific VC
- **pitch-craft** — Pitch deck structure & storytelling
- **financial-modeling** — 3-scenario financial modeling
- **term-sheet-knowledge** — Understand term sheet conditions
- `/daily-fundraise` — Daily fundraising briefing
- `/lead-dashboard` — Investor pipeline status
- `/fundraise-forecast` — Fundraising forecast