# Pre-seed funding

> Pre-seed is the earliest outside funding round, raised to turn an idea or prototype into the first evidence that customers want the product. Money usually comes from angels, accelerators and pre-seed funds, often on SAFEs or convertible notes rather than priced shares. There is no fixed size or definition: what counts as pre-seed varies by market and changes over time.

Source: https://delsivo.com/glossary/pre-seed · Updated 2026-11-06

## Key takeaways

- Pre-seed backs a team and an insight before there is much data.
- SAFEs and convertible notes are common because pricing the company is hard.
- Expect many unknowns. Treat them as questions, not as failures.

## What investors look for at pre-seed

- Why this team: earned insight into the problem and the ability to build.
- A sharp problem with named customers who feel it.
- Early signals: design partners, waitlists, pilots, letters of intent or first revenue.
- A plan for what the money proves before the next raise.

## An example pre-seed round

Two fictional founders with a working prototype and five design partners raise $600,000: $400,000 from a pre-seed fund and the rest from four angels, all on post-money SAFEs with the same cap. The plan is to reach paying customers within 18 months.

## How pre-seed deals look in a fund's process

Pre-seed decks are thin on data, so a screening tool that fails anything missing will reject most of them. [Delsivo's screening](https://delsivo.com/thesis-screening) is designed to mark missing facts as Unknown and turn them into questions; its live AI founder interviews, planned for the first release, let founders pitch and answer the fund's questions before any call, with a text interview always available. Only the transcript is assessed, on substance and evidence, never accent, fluency or polish.

## Common confusions

- Pre-seed versus [seed](https://delsivo.com/glossary/seed-round): seed usually comes with more evidence and a larger round, but the line moves by market.
- Pre-seed versus friends and family: friends-and-family money is often earlier still and less structured.
- Round labels are conventions. Look at the evidence and terms, not the name.

## Frequently asked questions

### How much is a typical pre-seed round?

It varies widely by country, sector and year. Check recent data for your market rather than relying on a single figure.

### Do pre-seed startups need revenue?

Not usually. Investors look for evidence of a real problem and a team that can solve it; some revenue helps but is rarely required.

### Is pre-seed equity or a SAFE?

Either. Many pre-seed rounds use SAFEs or convertible notes; some are priced equity rounds.

## Related pages

- [Delsivo for pre-seed funds](https://delsivo.com/for/pre-seed-funds)
- [Seed round](https://delsivo.com/glossary/seed-round)
- [SAFE note](https://delsivo.com/glossary/safe-note)
- [Founder-market fit](https://delsivo.com/glossary/founder-market-fit)