Understanding startup funding rounds

IN recent years, there has been a paradigm shift in fund-raising for startups. The cash pool available to them has gone from virtually non-existent to absolutely abundant. This is no surprise considering how there are increasingly more investors who see huge potential in the Asian countries, given the explosive growth of middle-class consumers in these markets.

In addition, in certain countries such as Singapore, startup founders are able to tap a variety of funding grants to aid in the early development stages of their company's growth, due to strong governmental support of entrepreneurs.

The availability of multiple financing channels in Singapore has …