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Seed funding is a type of investment that helps a new business get off the ground. It is typically the very first round of funding that a company receives, and it is usually provided by angel investors, venture capital firms, or other types of investors. The money from seed funding is used to help the company develop its product or service, conduct market research, and build a team. It is called "seed" funding because it helps the company plant the seeds of growth, which it can then nurture and cultivate over time. Seed funding is an important part of the startup process, as it provides the resources and support that a new business needs to get up and running.

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