Funding Report: Key Findings From Startups Who Have Raised Capital with Spring

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Lisa Fraser Snug VestLisa Fraser, CEO of Snug Vest by Wearable Therapeutics Inc., at our recent Spring Showcase. Lisa is one of many Spring Alumni entrepreneurs who has gone through the Capital Raising Program at Spring. Photo by Jena Lee Photography

Raising capital for one’s business is an exhilarating, exhausting, and important phase in every entrepreneur’s journey. Spring is excited to have been a partner in this financial quest for a number of entrepreneurs who have gone through our dedicated funding programs, including the half-day Funding Workshop and 6-week Capital Raising Program.

We’re excited to share some of the highlights of funding rounds completed by our Spring alumni in 2016 and to elucidate some trends we’ve witnessed. We would like to thank our alumni who supported this study by taking the time to provide the relevant information and for sharing your insights into the path of raising capital.

Funding Report - Spring Alumni 2016

Overall Key Highlights:

  • Over $8 million have been raised by companies in Spring’s funding programs since 2015
  • During 2016 alone, over $3 million in funding was raised
  • Majority of funding has been equity and grants, with a small portion of debt financing
  • Some averages:
    • Round size in 2016 was $150K, while on the high end $500K was raised
    • They tend to be either friends and family rounds or early seed (ie: angel investors)
    • On average up to 50% of the round was filled with local investors
    • Valuation: $3.1 million

Company Highlights:

  • About 30 respondents to the survey
  • Of the respondents, about 25% were female founders, while more than half consist of minority founders
  • Of the companies that raised equity funding, about 80% were in revenue mode

Funding Highlights:

  • Of the 30 companies that responded, 78% raised funds in 2016
  • About 62% was in equity funding, 22% in debt and the remainder 16% in grants
    • Zoning in on the equity rounds that occurred, a majority were common share. (ie: priced rounds, followed by those who used SAFE agreements and convertible share agreements)

We also posed the question of whether companies were looking to raise funds in 2017, with about 75% indicating a positive response. 

So there you have it, another busy and eventful fundraising year for Spring alumni. If you have any questions or comments about our upcoming Funding Workshop or Capital Raising Program, please feel free to reach out our Funding & Impact Program Manager, Sana Kapadia at

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