The 10 Ways Startups Can Raise Capital

Everything from SAFEs to selling future cashflows and token warrants

This newsletter is designed to help founders build, grow, and raise capital for their startups. And it’s been growing so much (over 17,000+ founders get it each week now) that I thought it deserved a fresh coat of paint and logo.

The lightbulb was a simple, perfect image to capture that feeling founders crave — when you know you’re onto something great. My job is to help make that easier to reach and sustain.

You’ll see this new branding going forward, including on my socials.

Recently I’ve gotten questions from a few founders on what financing options are out there. Times are still tough in the venture markets and founders are exploring other opportunities.

So this week I put together a list of 10 ways startups can raise capital

Read time: 7 minutes

Want to upgrade your content strategy?

Jason has been writing our main Launch House newsletter since the fall and also has his own, focused on sharing his best content strategy advice.

I’d recommend it if you’re a founder who’s thinking about using content as part of your go-to-market strategy:

Cyber Patterns by Jason LevinSocial media strategies for nerds trying to blow up the internet

Startups can break down their options to raise capital by whether they’re required to give up equity in exchange for the capital (dilutive) or not (non-dilutive).

Most, if not all, billion dollar companies raise at least one round of dilutive capital so we’ll cover that first.

Dilutive Options

As even Paul Graham notes, you don’t need to raise venture capital to be considered a startup (all you need to do is be designed to grow fast).

But equity-based fundraising is still the most common tool startups use to capture a big market quickly.

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