"Let’s start with the basics. Very few startups that last over the long term ever raise just one round of money if they choose to take outside financing at all. Therefore, you need to think of your first financing as groundwork for future ones—each at nice, incremental step ups in price at an appropriate size given business or product milestones and goals. You want to avoid down rounds and getting your earliest and most supportive backers wiped out. While you might be able to negotiate a sweet deal now, you have to ask where that leave you the next time."
—
Bizarro Fundraising: Aim Lower, Raise Less, and Lower Your Valuation | from This is going to be BIG!
Another great post by Charlie. I highly recommend reading his blog.
