Growth Stage Funding
The transition to successfully attaining the product-market fit (PMF) typically marks the beginning of the growth stage for a startup. At this stage, when a startup’s products and services have been launched, it aims to establish a repeatable, scalable and profitable business model.
The goal of the growth stage is to achieve business-model fit — a repeatable, scalable, profitable business model where the product creates as much value for the company as the customer. The company gained experience testing the distribution and business models in the startup stage. Now you’ll take it to the next level by raising growth capital, adding talent to the team, optimizing the sales funnel, and tracking key performance indicators (KPIs) — customer acquisition cost, customer lifetime value, conversion rates, churn, revenue growth, etc. — to maximize unit economics and revenue growth.