Fundraising is a process through which a company raises funds from external sources to achieve its strategic goals, such as investment in its own business development, or investment in other assets, for example, M&A, joint ventures, and strategic partnerships.

A target valuation is typically required when you need to haggle with banks or some other expected potential investors for subsidizing. Proficient documentation of your organization’s worth is generally needed since it improves your validity to the banks.

Fundraising is essential for companies, especially startups and growing businesses, as it provides them with the necessary capital to fuel their growth and execute their plans. It enables them to secure funding beyond their internal resources and traditional bank loans, thereby expanding their financial options and increasing their chances of success.