Successful founders share 3 crucial financial steps entrepreneurs should take after raising funding

• Raising millions, even billions, of dollars in funding is no small feat.
• Insider spoke with startup founders to learn the steps they took after raising capital and why.
• They hired new team members, purchased software, or invested in product, marketing, and design.

In a 2018 article, The New York Times detailed how startups raising $100 million or more from investors, in what’s known as a “megaround” in Silicon Valley, used to be rare but have recently become relatively common. In fact, according to data from PricewaterhouseCoopers and CB Insights, global venture-capital funding reached $207 billion in 2018. 

That’s a significant amount of money floating around. So what exactly does a startup, presumably one accustomed to making more with less, do with an influx of $100 million? Or even $1 million?

We asked, and eight founders were willing to share the biggest steps they took throughout the fundraising process. Here’s their advice for entrepreneurs looking to allocate their money wisely. 

Step 1: Set clear priorities and avoid overhiring