4 ms·
My first reaction was "wow my company must have sucked." And granted on many levels we did (and were never close to being the hottest company in the world), but
by austenallred 10y ago
My first reaction was "wow my company must have sucked." And granted on many levels we did (and were never close to being the hottest company in the world), but if I fought for 10% seed dilution I would have been laughed out of the room.
Maybe it's different if you're a shit-hot YC company, but man. I thought you were successful if you stayed below 20% at seed.
- lpolovets 10y agoYeah, my ballpark estimate from my portfolio (~50 investments in my fund + ~20 personal angel investments) is that 20-25% dilution is common at seed stage. Occasionally it's 15%, which is great. Occasionally you also see 30+%, and that's pretty bad.
- new2 10y agoWould it possible to provide more granular data(anonymized, of course)? What was the mean, median etc dilution for your seed investments? And same for when your portfolio companies go on to raise a Series A? Thanks!
- lpolovets 10y agoThis free report is an excellent resource on average dilution at each round: https://www.capshare.com/blog/dilution-101-startup-guide-equity-dilution/ https://www.capshare.com/blog/dilution-101-startup-guide-equ...