Finance & Businessfreq · 1via Dusty Flow

Seed Capital

/siːd ˈkæp.ɪ.təl/noun
ELI5 mode

Seed capital is the initial funding provided to a startup or entrepreneur to transform an idea into a functioning business, often covering early expenses like prototype development and market testing. This high-risk investment is typically sourced from angel investors, venture capitalists, or personal networks, and it's essential for validating concepts before larger funding rounds. In the modern startup world, it's not just about money—it's a vote of confidence that can make or break innovative ventures.

AI-generated·

Verified sources

Your usage frequency

1 / 917