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Pre-Seed vs Seed-Stage Valuations & Traction Metrics in Silicon Valley

Name: Pre-Seed vs Seed-Stage Valuations & Traction Metrics in Silicon Valley
Uploaded: 2019-05-06T20:24:47+00:00
Duration: 1 min 8 s
Channel: Royston G King
Description: In this concise presentation, Mike Supravici—head of the Graduate Success Group at the Founder Institute and Silicon Valley chapter leader— outlines the…

6 May 2019 · 1 min

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1:08

In this concise presentation, Mike Supravici—head of the Graduate Success Group at the Founder Institute and Silicon Valley chapter leader— outlines the typical financing landscape for early-stage startups in Silicon Valley. He details pre‑seed round sizes ($50k–$500k) and associated company valuations ($2M–$6M), as well as seed round sizes ($750k–$4M+) with valuation bands ranging from $4M up to $10M and potentially $15M–$20M for high‑traction companies. Supravici also notes the expected equity dilution for founders at these stages, generally between 10% and 20% of ownership. The talk serves as a quick reference for entrepreneurs to gauge funding expectations and how traction influences valuation.

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Hello, my name is Mike Supravici. I run the Graduate Success Group here at the Founder Institute, and in addition to that, I am also the local leader here for the Silicon Valley chapter. Here in Silicon Valley, pre-seed rounds go from $50,000 to $500,000, and seed rounds go from, say, $750,000 to upwards of $4 million. If, when we're looking at as far as the terms, in other words, how much, what the valuation is or how much you should expect to give up during that time, you're looking at roughly around 10% up to maybe as much as 20%. So, you know, at the pre-seed stages, we're looking at valuations somewhere between roughly $2 million to maybe as much as $6 million. And at the seed stage, you're looking at valuation somewhere between $4 million and maybe as high as $10 million and even at $15 to $20 million possibly, depending on the level of traction that you have.