Inno-dictionary: "Series A, B Investments"

"Series A, B Investments"

Definition:

Series A investment usually refers to the first investment a startup received from institutional investors after the stage of seed / angel investment.  The startup would have developed a product prototype at this stage, yet it may usually generate limited revenue or zero profit.

Series B investment refers to the second investment received from institutional investors. The startup would usually expand its business or market share, and develop a better business and profit model.

Nevertheless, the definitions of Series A and B investments vary across industries and areas, and may change according to market conditions.

More information:

HKSTP Ventures and Cyberport Macro Fund provides investments to nurture early-to-growth stage startups. As announced in the 2021-22 Budget, $350 million and $200 million will be injected into the two Funds respectively and their scope will be extended to cover Series B and later stage investments. For more information on institutional investors, please visit Startmeup.hk.

Source: Innovation, Technology and Industry Bureau Facebook Page

Published by the Innovation, Technology and Industry Bureau Facebook Page, the “Inno-dictionary” series aims to facilitate startup newbies to understand the jargons related to entrepreneurship as well as innovation and technology.