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The pre-seed round is the initial stage of fundraising that a startup undertakes, often before the product has been fully developed or market validation has been achieved. It's intended to provide the initial capital needed to get the startup off the ground and move towards a minimum viable product (MVP).
Funding during this stage often comes from the founder's own pockets, friends and family, or angel investors who believe in the concept or the team. The funds are typically used to cover initial operating expenses like product development, market research, and setting up business operations. The goal is to reach a stage where the startup can demonstrate enough potential to attract more substantial investment in a seed round. Please note that terms and conditions for a pre-seed round can vary widely and it's important to work with legal counsel to ensure that you understand what you're agreeing to.
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