Funding Glossary

Browse 17 funding terms defined in plain English, from the cultural dictionary of computing.

17 Funding Terms

Bootstrap Funding
Capital supplied by founders, early revenue, or other non-institutional sources rather than external venture financing. It typically implies tighter spending...
Bootstrapped
Built and grown primarily without outside institutional investment, usually through founder capital and customer revenue. Bootstrapped companies often trade...
CVC
Short for corporate venture capital, referring to startup investment activity by established corporations. CVC can provide strategic distribution and...
Early Stage
Describing companies that are still in the formative phase of validating product, customers, team, and business model, often before significant scale. The...
GitHub Sponsors
GitHub’s funding feature that lets individuals or organizations financially support open source maintainers and projects through recurring sponsorships. It is...
Gratipay
A historical platform for recurring small donations that was used by some open source maintainers and projects before shutting down. It is often mentioned as...
Non-Dilutive
Describing funding that does not require giving up ownership in the company, such as revenue financing, grants, or certain forms of debt. Non-dilutive capital...
Open Collective
A platform used by open source projects and communities to collect funds transparently, manage expenses, and show how money is spent. It is widely used to...
Open Source Sustainability
The challenge of keeping open source projects viable over the long term through funding, governance, contributor health, maintenance capacity, and realistic...
Project Funding
The money or financial support that sustains a project's maintenance, development, infrastructure, or contributors. In open-source culture, project funding is...
SAFE
Simple Agreement for Future Equity — a Y Combinator-created investment instrument where investors provide capital now in exchange for equity later (at the next...
Series A
The first significant round of venture capital financing, typically raising $5-20M at a $20-100M valuation. Comes after seed funding and requires evidence of...
Sponsorship
Financial support provided by individuals or organizations to maintainers, projects, foundations, or community events in exchange for recognition,...
Startup Accelerator
A program that gives early-stage startups mentorship, network access, limited funding, and a fixed-duration growth structure, often ending in a demo day....
Tidelift
A company and service model focused on helping organizations manage open source dependencies while directing funding and maintenance expectations toward...
VC
Short for venture capital or venture capitalist, depending on context. In startup speech, 'VC' can mean the asset class, the firm, or the individual investor...
Venture Capital
A form of private investment capital used to back startups and other high-growth private companies in exchange for equity. Venture capital expects a small...

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