Ever since the JOBS Act was passed and the SEC lifted the ban on general solicitation for some companies raising investments, we see lots of news stories sharing how X company raised Y amount of money in some type of funding round.
Sounds confusing? Basically, a funding round is any time you raise money from one or more investors. They are labeled A, B, C, etc. because they happen one after another, and each funding rounds means something slightly different. The type of funding rounds also depends on the type of shares that are being sold in the round (common stock, preferred shares) and how investors will get their money back.
Read the article here:
http://www.crowdcrux.com/funding-rounds ... s-b-c-ipo/
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