Series C funding is the third major round of venture capital investment that established, profitable companies raise to accelerate growth, expand into new markets, or prepare for exit strategies like acquisitions or public offerings.
Series C funding targets mature startups that have proven their business model and achieved substantial revenue growth.
These companies typically have strong market positions, established customer bases, and clear paths to profitability or are already profitable.
Series C rounds generally range from 20 million to over 100 million, though amounts vary significantly based on industry and growth potential.
This substantial funding reflects the company's proven track record and ambitious expansion plans.
Series C investors include established venture capital firms, private equity funds, hedge funds, and sometimes corporate investors.
These investors often have larger funds and seek companies with lower risk profiles compared to earlier-stage investments.
Companies typically use Series C funding for major expansion initiatives such as international market entry, significant product development, strategic acquisitions, or substantial team scaling.
Some also use it to strengthen their balance sheets before going public.
Series C funding results in further dilution of existing shareholders' ownership percentages.
However, the substantial company valuation increase often means founders and early investors see their stake values grow despite reduced percentages.
After Series C funding, companies often pursue exit strategies such as initial public offerings (IPOs) or acquisitions by larger corporations.
Some may raise additional rounds (Series D, E, etc.) if they need more capital before their planned exit.
