It’s not exactly breaking news to say that venture capital funding rounds tend to get bigger as a company matures. But exactly how much bigger?
To get at the trends in funding rounds, we dug through Crunchbase data for every company on the GovTech 100 list and compiled averages for seed rounds, Series A through E and other kinds of funding. The data isn’t perfect — for example, Crunchbase sometimes only has a Series B listed for a company, and many individual investments are categorized simply as “venture capital” with no attachment to a round. In the end, the list provided 33 companies with seed round data available, 22 that had gone through a Series A, 16 for Series B and six for Series C. Too few companies had completed D and E rounds to provide a meaningful figure.
Below are the average figures for A through C rounds, as well as “other” funding and an average for all companies on the list that had funding data available.
In terms of percentage increase, the jump from seed to Series A is by far the most dramatic leap for new companies. The average A round was 439 percent larger than the average seed round, while B rounds were 114 percent larger than A rounds. C rounds were only 55 percent larger than B rounds.
The average amount of “other” funding — $4.8 million — reflects miscellanea such as debt capital, unassigned venture capital and grants.