

Ask YC: Who here has done a rolling close on angel/seed round fundraising? - shafqat

Just wondering your their experience was? Any advice? From everything I've read and common sense, it seems smart to take whatever money you can get and get the cash in the bank asap. That way the stragglers or undecided investors aren't holding up the round.<p>Are there any pitfalls to this strategy? Do the latecomers get the same valuation as those who are ready to right the check today?
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emmett
You fingered the pitfall. Late comers get the same valuation, so you give up
the ability to pressure people into investing now for fear that they'll lose
the chance.

On the other hand, we did a rolling close on a round and it worked fine for
us.

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MaysonL
You could do something like set a deadline for the initial valuation of the
round, and have a couple more months where the round remains open, but the
valuation goes up x% per month or per week.

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shafqat
That makes a lot of sense.

