MoneyTree™ Definitions
Sector definitions
The sector classifications used in the MoneyTree Report are as follows:
Agriculture
All aspects of farming, including crop production and health, animal production and wellness, as well as machinery, products, and related activities.
Automotive & Transportation
All elements of travel by air, automobile, train, trucking, and other forms of transportation. Also addresses manufacturing, parts, and maintenance.
Business Products & Services
All business needs and associated services: advertising, PR, HR, staffing, training records keeping, legal services, consulting, office supplies and furniture, information services, hardware, facilities, and more. Also covers associated services like commercial printing, outsourcing, and packaging.
Computer Hardware & Services
Physical computing devices and related services, though specifically not the software used on those machines. Includes personal and business computers, networking equipment, leasing companies, peripherals, handhelds, servers, supercomputers, gaming devices, and IT services.
Consumer Products & Services
All goods and services for personal use (not Business or Industrial), including but not limited to: appliances, automotive services, rentals, consumer electronics, clothes, home furnishings, jewelry, pet products, tobacco, toys and games.
Electronics
Concerned mainly with electronic components like chips, semiconductors, switches, motors, testing equipment, and scientific instruments; also related manufacturing services.
Energy & Utilities
Energy production, distribution, and storage, including fossil fuels, renewables, electric power companies, companies focused on energy efficiency, as well as companies researching new energy sources or technologies.
Environmental Services & Equipment
These companies deal with repairing damage after an environmental event has occurred or aim to help limit the negative ecological impact of an event or company. This includes environmental and energy consulting,
hazardous waste services, recycling, cleanup, and solid waste.
Financial
Companies dealing with wealth in any form, including but not limited to: accounting, banking, credit and collections, investments, online payments companies, and lending.
Food & Beverages
Food and drink of all kinds: retail and wholesale, fresh ingredients, prepared and canned items, and foodservice (but not restaurants, see Leisure). Also includes food safety, flavoring and condiments, alcoholic products, and distribution.
Healthcare
All aspects of medical care and wellness: diagnosis, drug development and distribution, medical products and facilities, healthcare plans, and alternative treatments and elective procedures.
Industrial
Equipment and facilities that are neither commercial nor residential/consumer and all related applications. Mainly concerned with materials, facilities, heavy machinery, and construction.
Internet
Online applications, but neither the hardware on which they are run nor the ISPs that make transactions possible. All ecommerce sites are included, as are webhosting services, browser software, online advertising, email, online communications platforms of all kinds, online learning, video, and more.
Leisure
In-person entertainment like movie theaters, casinos, lodging, restaurants of all kinds, sporting events, gyms, and recreation facilities.
Media (Traditional)
All forms of non-Internet entertainment that is also not in-person (see Leisure). Includes film, video, music, publishing, radio, and television.
Metals & Mining
Companies involved with extracting raw materials from the earth and their processing. Larger categories contained herein include aluminium, coal, copper, diamonds and precious stones, precious metals, and steel; additionally the brokering and distribution of these items.
Mobile & Telecommunications
Communications companies and associated technologies, from overarching categories like fiber optics, telecom equipment, infrastructure, towers, and RFID systems to applications like mobile software, mobile commerce, and the telecom companies that facilitate communication over their networks.
Retail (non-internet/mobile)
Brick-and-mortar retail locations of all kinds: clothes, electronics, appliances, physical media, grocery, office supplies, and every other item purchased in person that is not a leisure activity (see Leisure).
Risk & Security
Security services and products that operate primarily in the physical world and encompass personal protective equipment, security and surveillance equipment, security guard companies, consultants, and more.
Software (non-internet/mobile)
Software not covered under “Mobile” or “Internet.” It can be hosted on a user’s machine or accessed remotely and can be used for any application. In this category, the software itself is the user’s primary concern, not the delivery method (as in Internet and Mobile categories).
Stage of development definitions
The stage of development classifications used in the MoneyTree Report are as follows:
Seed stage
Seed/Angel
Early stage
Series A
Expansion stage
Series B and C
Later stage
Series D and E+
Other
Includes rounds not associated with a specific stage in a company's funding history. These include corporate minority rounds where corporates take a minority stake in a startup, as well as a small number of unclassified rounds tracked that are not associated with a specific stage
Type of financing/financing sequence definitions
The MoneyTree Report records cash for equity investments as the cash is actually received by the company (also called a tranch) as opposed to when financing is committed (often referred to as a "term sheet") to a company. Accordingly, the amount reported in a given quarter may be less than the total round amount committed to the company at the time when the round of financing closed.
MoneyTree regions definitions
The geographical classifications used in the MoneyTree Report are as follows:
Alaska/Hawaii/Puerto Rico
Alaska, Hawaii, and Puerto Rico
Colorado
The state of Colorado
DC/Metroplex
Washington, D.C., Virginia, West Virginia, and Maryland
LA/Orange County
Southern California (excluding San Diego)
Midwest
Illinois, Missouri, Indiana, Kentucky, Ohio, Michigan, and western Pennsylvania
New England
Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and parts of Connecticut (excluding Fairfield county)
New York Metro
Metropolitan NY area, northern New Jersey, and Fairfield County, Connecticut
North Central
Minnesota, Iowa, Wisconsin, North Dakota, South Dakota, and Nebraska
Northwest
Washington, Oregon, Idaho, Montana, and Wyoming
Philadelphia Metro
Eastern Pennsylvania, southern New Jersey, and Delaware
Sacramento/Northern California
Sacramento and north of Marin County (excluding San Francisco and Silicon Valley regions)
San Diego
San Diego area
San Francisco (North Bay Area)
Bay Area cities north of Highway 92, extending up the northern coast to the Oregon border along the Hwy 101 corridor, including some counties not adjacent to the coast
Silicon Valley (South Bay Area)
Bay Area cities south of Highway 92, extending east to the Nevada border and south to include Fresno County.
South Central
Kansas, Oklahoma, Arkansas, and Louisiana
Southeast
Alabama, Florida, Georgia, Mississippi, Tennessee, South Carolina, and North Carolina
Southwest
Utah, Arizona, New Mexico, and Nevada
Texas
The state of Texas
Upstate New York
Northern New York state, except Metropolitan New York City area
Report methodology
What is included:
- Equity financings into emerging companies. Fundings must come from VC-backed companies, which are defined as companies who have received funding at any point from either: venture capital firms, corporate venture group or super angel investors.
- Fundings of only private companies. Funding rounds raised by public companies of any kind on any exchange (including Pink Sheets) are excluded from our numbers, even if they received investment by a venture firm(s).
- Only includes the investment made in the quarter for tranched investments. If a company does a second closing of its Series B round for $5M and previously had closed $2M in a prior quarter, only the $5M is reflected in our results.
- Round numbers reflect what has closed – not what is intended. If a company indicates the closing of $5M out of a desired raise of $15M, our numbers reflect only the amount which has closed.
- Only verifiable fundings are included. Fundings are verified via (1) various federal and state regulatory filings; (2) direct confirmation with firm or investor; (3) press release; or (4) credible media sources.
What is excluded:
- No contingent funding. If a company receives a commitment for $20M subject to hitting certain milestones but first gets $8M, only the $8M is included in our data.
- No business development / R&D arrangements whether transferable into equity now, later or never. If a company signs a $300M R&D partnership with a larger corporation, this is not equity financing nor is it from venture capital firms. As a result, it is not included.
- No buyouts, consolidations or recapitalizations. All three of these transaction types are commonly employed by private equity firms and are tracked by CB Insights. However, they are excluded for the purposes of this report.
- No private placements. These investments, also known as PIPEs (Private Investment in Public Equities), even if made by a venture capital firm(s).
- No debt / loans of any kind (except convertible notes). Venture debt or any kind of debt / loan issued to emerging, startup companies, even if included as an additional part of an equity financing is not included. If a company receives $3M with $2M from venture investors and $1M in debt, only the $2M is included in these statistics.
- No government funding. Grants, loans or equity financings by the federal government, state agencies, or public-private partnerships to emerging, startup companies are not included.
Disclaimer
PricewaterhouseCoopers and CB Insights have taken responsible steps to ensure that the information contained in the MoneyTree Report has been obtained from reliable sources. However, neither PwC nor CB Insights can warrant the ultimate validity of the data obtained in this manner. Results are updated periodically. Therefore, all data is subject to change at any time.
Contact us
Tom Ciccolella
US Assurance, Partner
Tel: +1 (408) 817 5979
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David Silverman
National Emerging Company Services Practice Co-Leader
Tel: +1 (646) 471 5421
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Mark McCaffrey
US Technology, Media and Telecommunications Leader, PwC
Tel: +1 (408) 817-4199
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Danny Wallace
National Emerging Company Services Practice Co-Leader
Tel: +1 (408) 817 5030
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Greg Vlahos
Partner, US Pharmaceuticals and Life Sciences
Tel: +1 (408) 817 5029
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