For Startups, someone once said, ‘Always Be Raising’ in terms of funding.
This could be a real burden as seeking funds is a full-time exercise and usually done by founders, which means they are not available for other more important work, while they try to ‘raise’.
So it is important to raise enough amount of money which should give you enough ground to build and go to the next stage, freeing the founders to focus on on just building and execution.
PG has articulated it well here in point 11 :
“So if you take money from investors, you have to take enough to get to the next step, whatever that is.
Fortunately you have some control over both how much you spend and what the next step is.
We advise startups to set both low, initially: spend practically nothing, and make your initial goal simply to build a solid prototype. This gives you maximum flexibility.”