How many companies have you started? $120k at that kind of valuation for a seed round is not at all strange. I&#x27;ve been part of companies that have done much worse (~$30k for 20%..) and much better ($1.2m for 10%); in the end you take the best you can find, and the valuation you can get in your seed round is not necessarily a good predictor for how well you&#x27;ll do as a founder.<p>And you have to consider that &quot;the best you can find&quot; also depends on other factors such as the advice and contacts you gain, which could very well make or break the company by itself.<p>You&#x27;re looking at it all wrong when you say &quot;for an idea I believe is worth only $1.7M&quot;. It&#x27;s an idea and a team that&#x27;s only worth $1.7M now <i>when factoring in risk and time</i>. Let&#x27;s say a coin flip right after the investors have put their money in determines if the company will continue as is or get shut down; if so the present value of the company is at most half what it will be after the coin flip, probably less. And the reality is that startup risks are massive.<p>Now add the time element, and your growth also need to reflect returns the investors could have gotten elsewhere.<p>The net result is that if your startup is valued at $1.7M today, then they&#x27;re saying they think it&#x27;ll be worth <i>far</i> more than that <i>assuming you succeed</i>. Even then, the $1.7M number exclude the value of the advice and contacts you gain access to.