Series B Funding

Beginner 🚀 Startup / VC

Definition

The second major funding round, typically $10-50 million, aimed at scaling a product that already has demonstrated traction. Proof that your MVP was more than just a fever dream.

Example Usage

Our Series B allowed us to stop pretending to care about unit economics and just spend aggressively on growth like every other startup.

Origin

Continuation of venture capital's lettered funding round naming convention established in the 1980s.

Fun Fact

Series B is where many startups either actually succeed or burn a ton of money pursuing a failing idea with more conviction.

Source: Standard venture capital terminology

Related Terms

Intermediate

change of control

Any transaction that transfers majority ownership or control of a company, typically triggering various contractual provisions like vesting acceleration, payment obligations, or approval rights. The legal definition of when your startup stops being yours.

🚀 Startup / VC
Beginner

capitalist

A person who owns money and loves owning more money, preferably through means that maximize wealth accumulation. The ideological cheerleader for markets and minimal regulation.

🚀 Startup / VC
Intermediate

dilute

The art of watering down your ownership stake in a company, usually because someone with deeper pockets decided your equity pie needs more slices. In the startup world, this happens when new investors come aboard and everyone's percentage shrinks faster than your enthusiasm during Series D. It's not personal, it's just cap table mathematics.

🚀 Startup / VC
Advanced

distribution waterfall

The specific order in which investment proceeds are distributed among LPs and GPs based on the fund's legal agreements. It's the pecking order that determines who eats first at the exit feast.

🚀 Startup / VC
Intermediate

fund lifecycle

The typical 10-year lifespan of a venture capital fund from raising money to returning capital to LPs, with investment happening in years 1-5 and exits in years 5-10. It's why your VC keeps asking about your exit timeline.

🚀 Startup / VC
Beginner

Seed Round

The first significant round of funding, where investors plant money in your startup like seeds in a garden, fully expecting that most gardens will produce nothing but weeds and regret. It's typically between $500K and $5M, which is a lot of money for a PowerPoint presentation.

🚀 Startup / VC

Translate This Term

See “Series B Funding” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.

Try the Translator

Share This Term

Post on XShare on FacebookShare on LinkedIn

Discover a Term

Beginner

Walkthrough

The final tour of a home before closing where you discover all the things that broke between the inspection and now. It'...