A chapter from the Types of Financing Article
As much as fulfills the business plan for the amount of time you need the money. For example, if you ask for $1 million and there’s a roadmap attached to it, when fulfilled, your company has a higher value and you’re more trustworthy for future investors. Thus you will raise money for a higher valuation. If you ask for too much and you are successful, you gave up too much equity at a lower valuation.