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What is the difference between a Primary and a Secondary round?
What is the difference between a Primary and a Secondary round?

The key differences.

Luca Barrie avatar
Written by Luca Barrie
Updated over 2 years ago

In a primary round, the Company issues new stock that is purchased by investors. In a secondary offering, pre-existing stock is transferred by an existing shareholder to Seedrs investors.

Investment funds will be paid to the seller(s), not the company. As a result, the number of shares offered has nothing to do with the business nor its plans for growth and should not be interpreted in that way.

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