The boundaries between these different funding stages are not always precise. Typically pre-seed funding is used to develop or validate an idea: your product or service may be at a prototype stage or pre-revenue. Investments at this stage are not always part of a formal 'round' of funding and may be more ad hoc. Startups usually raise their first formal seed funding round once they have more tangible signs of success: a minimum viable product, users or revenue. Seed funding is typically used to help a business transition from the 'idea' phase to a company that is active in the market, offering products or services with a viable business model. Series A funding comes into play once a startup can demonstrate signs of product market fit, the right growth metrics, and a path to scale.

Investors often specialise in one or more of these stages. Adeline makes investments at all of these stages, though we tend to focus more on pre-seed and seed stage projects.

Angel investors or "business angels" are typically looking for early stage projects with the potential for a high rate of return. They will accept an increased level of risk or uncertainty in exchange for the possibility of greater rewards. This means they will often be willing to invest in earlier stage businesses with less evidence to prove their scalability than might be required by a VC that specialises in Series A startups and beyond. This doesn't mean you don't have to prove your case. Every angel is different, but most will want to see that:
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- You understand the problem your product or service is solving
- You have a clear idea of your market and target audience
- The obtainable market is big enough to make your business an exciting prospect
- You understand your competitive landscape and how your business will be differentiated
- You have a clear idea of how your business will make money
- You and your team are credible and committed to the project
- You have compelling evidence of progress or traction appropriate to the stage your business is at

We ask questions like these on our own application form

Angels will also be looking to invest at an attractive valuation that makes the additional risk they take in backing an early stage worthwhile.

Yes, we offer discretionary grants and loans for certain creative projects and research projects that align with our mission. We do not typically offer grants or loans for startups.