Startups & Venture Capital

How startups raise money and how investors get paid.

1. Funding Rounds — Startups raise money in stages, from a few hundred thousand dollars at seed to billions for the biggest companies. Here is how rounds are named, who invests at each stage and the record-setting rounds of 2026.
2. Valuations & Dilution — Every time a startup sells new shares, existing owners own a smaller slice. Here is how pre-money and post-money valuations work, how dilution adds up across rounds and why headline valuations can mislead.
3. How VC Funds Make Money — Venture capital depends on a few huge winners to make up for many losers. Here is how VC funds are structured, how managers get paid and why the power law shapes everything they do.
4. Unicorns — A unicorn is a private startup valued at $1 billion or more. Once rare, there are now more than a thousand. Here is where the term came from, what happens when unicorns go public and how private and public values can differ.
5. Paths to Exit — Startup investors get paid when there is an exit: an IPO, an acquisition or a sale of shares to other investors. Here are the main paths, how long they take and how they have looked in 2025 and 2026.
6. Startup Investing for Individuals — Individuals can now invest small amounts in startups through crowdfunding and other routes. Here are the 2026 rules and limits, the tax angle and the very real risks.