Follow-On Investment
Additional investment by an existing investor in a later round.
Follow-on funding lets investors double down on companies that are performing well, often using pro-rata rights. Strong follow-on support signals investor confidence and helps a startup raise subsequent rounds more easily.
Examples
A seed VC follows on in the Series A. — Existing angels lead a bridge as follow-on.
How it relates to The Startup Foundry
Building strong relationships with the Foundry’s network can lead to ongoing support across rounds.