The 25 step guide to completing your first funding round

We prepared this handy overview of all the things you’ll need to do for a seed funding round. Some items are things you can complete right here using the SeedLegals platform, others are just advice or links to further reading.‍

Get Investment Ready

1. Get knowledgeable on the legal process and jargon

Refer to our guide on legal terms jargon explained

2. Decide what deal terms you’re looking for

Check out these SeedCamp guides on: How much money you should raise and How to value your company

3. Find the right investors

• Research early stage investment sources, read our list of the 17 most active EIS investment funds in the UK
• Visit Angel Investment Network, AngelList.co
• Capital Pilot can put you in touch with hundreds of UK investors and funds

4. Get investment ready – prepare for your pitch deck

• Create your pitch deck. Here are 50 Pitch Decks from successfully funded startups and lesson’s from a study of perfect pitch decks
• Research how to present to investors
• Learn why your startup should create a data room before fundraising

5. Check whether you qualify for SEIS / EIS

Refer to the SeedLegals EIS / SEIS Quick Guide

6. Negotiate with your potential investors

• Read this guide on Negotiating your Term Sheet
• Refer to the BVCA Guide for Term Sheets
• Negotiate your key terms

Agree the Deal

7. Create your new articles of incorporation

Here’s why your articles need amending

8. Build your cap table to reflect existing and new shareholding

9. Create Shareholders & Subscription Agreement

10. Key team members to sign IP assignment agreement

11. Team to sign employment & service agreements

Close the Deal

12. Complete the disclosure letter

13. Complete representations & warranties

14. Hold board meeting to approve funding and share issue

15. Create a shareholders’ resolution

16. Inform shareholders and investors what’s needed from them

17. Get deal approval

18. Sign shareholders agreement

19. Send signed forms to all parties for countersigning

20. All parties return countersigned forms

21. Investors deposit goes into your company’s bank account

22. Create, sign and send out shareholder certificates

23. Update your company share register

24. File SH01 form with Companies House

25. Get back to your real business!

Want to know more? Hit the chat feature in the bottom right corner or book a call with a member of the SeedLegals team.