The short answer
The use of funds slide shows what your raise turns into. Lead with the milestone the money buys, break the budget into named roles and categories with a buffer, plan for 18–24 months of runway, and pick milestones that investors at your next stage will want to see.
- Lead with the milestone the money buys, not a pie chart of categories.
- Build the slide from a monthly budget and hiring plan.
- Plan for 18–24 months of runway and include a buffer.
- Choose milestones that match what your next round's investors look for.
- The mix differs by sector; show you know your sector's pattern.
How to use this template
The use of funds slide answers the investor's real question about your raise: what will this money turn into? A good one ties dollars to milestones and milestones to your next round. A weak one is a pie chart of categories. Copy the structure below into one slide (or a short section of your memo), fill in your numbers, and check that the milestones are the ones an investor at your next stage will want to see.
Build it from your hiring plan and monthly budget, not from percentages you think look right. Use the runway calculator to confirm the money lasts as long as the slide claims.
The slide template
Headline: "$[amount] gets us to [milestone] by [month year]"
Where the money goes
• Product and engineering — $[x] ([y]%): [hires / work]
• Sales and marketing — $[x] ([y]%): [hires / channels]
• Operations, regulatory or manufacturing — $[x] ([y]%): [what]
• General and administrative — $[x] ([y]%): legal, accounting, insurance, tools
• Buffer — $[x] ([y]%)What it buys (milestones)
• [Revenue milestone, e.g., $[x] ARR]
• [Customer or usage milestone]
• [Product, regulatory or technical milestone]
• [Team milestone: key hires made]Runway: [x] months at planned burn · Next raise: [stage] in [month year]
A worked example
Hypothetical example; figures are invented to show the structure.
A B2B software company in Indianapolis raises $1,200,000 at seed. Its plan, built from a monthly budget:
| Category | Amount | Share | What it pays for |
|---|---|---|---|
| Product and engineering | $540,000 | 45% | Two engineers for 18 months; contractor for integrations |
| Sales and marketing | $360,000 | 30% | One account executive; trade shows; outbound tools |
| Customer success | $120,000 | 10% | Part-time onboarding lead, full-time from month 9 |
| General and administrative | $84,000 | 7% | Legal, accounting, insurance, software |
| Buffer | $96,000 | 8% | Delays in sales cycles or hiring |
| Total | $1,200,000 | 100% | About 20 months of runway at planned burn, with current revenue |
Milestones on the slide: $1,000,000 ARR, 60 paying customers, net revenue retention above 100%, and a sales playbook a second account executive can follow. Those are chosen because they're the evidence Series A investors look for (traction by stage).
Rules for a credible slide
- Lead with the milestone, not the categories. Investors fund outcomes.
- Plan for 18–24 months of runway. Raising takes time; leave room to raise again from strength. Check with the runway calculator.
- Show people, not percentages. Most early budgets are mostly salaries. Name the roles.
- Include a buffer. Sales cycles and hiring usually take longer than planned.
- Match the milestones to the next round. If they won't be enough to raise your next round, either raise more or pick a smaller, achievable next step.
- Keep founder salaries reasonable and visible in the budget behind the slide; investors will ask.
- Tie it to how much you're raising. See how much to raise at pre-seed and seed.
How the mix shifts by sector
| Sector | Usually heavier on |
|---|---|
| B2B SaaS | Engineering, then sales hires |
| Consumer products and food | Inventory, production runs, retail and marketing spend |
| Healthcare | Clinical validation, compliance, regulatory work, sales to providers |
| Hardware and deep tech | Prototypes, manufacturing tooling, testing and certification |
| Climate and energy | Pilots, equipment, permitting and field operations |
Investors who specialize in your sector know these patterns; show them you do too. Browse by sector, for example B2B SaaS or healthcare.
Frequently asked questions
What should a use of funds slide include?
The amount, how it splits across categories and roles, the milestones it buys, runway in months and when you expect to raise next.
How much runway should a seed round provide?
Many founders plan for 18–24 months so they can reach milestones and raise again without running out of cash.
Should I show percentages or dollar amounts?
Both. Dollars show you've built a budget; percentages make the mix easy to read.
Do I need a buffer?
It's wise. Sales cycles, hiring and product work often take longer than planned.