Fundraising
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Quick Answer
A startup's third major equity round ($15M-$50M+), raised to scale a proven business model — expand the team, enter new markets, and build enterprise infrastructure.
Series B is the growth-stage funding round that follows Series A, typically raising $15M-$50M+ at valuations of $50M-$200M. By Series B, the company has demonstrated product-market fit, repeatable revenue growth, and improving unit economics. Series B capital funds the transition from 'proven model' to 'category leader' — scaling from 50 to 200+ employees, expanding into new geographies, building enterprise sales infrastructure, and launching adjacent products. Series B investors include growth-focused firms like Tiger Global, Coatue, General Catalyst, and Insight Partners. Key metrics for Series B SaaS companies: $5-20M ARR, 2-3x annual growth, improving margins, and strong net dollar retention (110%+).
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Why It Matters
Series B is where startups transform from promising ventures into real businesses. The round sizes, governance expectations, and operational complexity all step up significantly. For founders, Series B is often the last round where they're primary negotiators — by Series C, most companies have professional CFOs leading the process.
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Series B is the growth-stage funding round that follows Series A, typically raising $15M-$50M+ at valuations of $50M-$200M. By Series B, the company has demonstrated product-market fit, repeatable revenue growth, and improving unit economics.
Understanding Series B Funding is critical for founders navigating the fundraising process. It directly impacts deal terms, valuation, and the relationship between founders and investors.
Series B Funding falls under the fundraising category in venture capital. This area covers concepts related to how startups and funds raise capital from investors.
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