How much should the cap be on my own founder investment?

I bootstrapped my startup product to launch with about $50K, and am now getting inquiries for Seed/Series A investment. How should I set up my initial bootstrapped investment? It seems YCombinator SAFE documents are the way to go, but how do I determine the discount and cap in this case?

  • hard to say, but initial seed valuation (cap) for a decent startup seed is prolly US$3-5M. if you are getting inquiries for a Series A, that would imply you have a pretty HOT product suggesting much higher cap. however, note that if you get into YC, their standard “$120k for 7%” for all batch entrants implies only a $1.7M valuation.

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