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Praying to the God of Valuation

Both Sides of the Table

And then in the late 90’s money crept in, swept in to town by public markets, instant wealth and an absurd sky-rocketing of valuations based on no reasonable metrics. Within 5 years I was on the board of real businesses with meaningful revenue, strong balance sheets, no debt and on the path to a few interesting exits.

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Experts share tips for mission-driven organizations on DE&I

Board Effect

The profound impact of diversity, equity and inclusion (DEI) is a centerpiece of the stewardship of these organizations; sustained and effective social response and problem solving requires diverse and inclusive governance. Measuring DE&I progress Use tools and metrics. “To

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Rules of Thumb Business Valuation Methods Explained

Up and Running

Metrics such as discretionary cash flow or business revenue are used. So seeing how the metrics in key industries stack up against each other may give you insight into whether your company is performing well or not. The majority of small and medium-sized companies used this metric for their valuation. EBITA Multiple.

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ESADE Business School Commencement Speech

Steve Blank

Metrics like Return on Net Assets, Return on Capital and Internal Rate of Return are the guiding stars of the board and CEO. As Harvard professor Clayton Christensen noted, these efficiency metrics provided wise guidance for times when capital was scarce and raising money was hard. We legalized robbing the corporate treasury.

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What do The Numbers Say? A Quick Guide to Understanding Financial Statements

The Startup Magazine

Each of these metrics is central to your business success. Balance Sheet. Balance sheets show your company’s liabilities, assets, and amounts held by shareholders. . The following are standard terms you find in a balance sheet and what they mean. . Liabilities : This is money your company owes.

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10 Things the Bank Will Ask When You Need a Business Loan

Up and Running

The need for collateral also means that most small business owners have to pledge personal assets, usually house equity, to get a business loan. See Also Small Business Owners, Start Tracking Your Financial Metrics. See Also The Complete Guide to SBA Loans. Business plan. Complete financial statements, preferably audited or reviewed.

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5 Financial Ratios Used To Measure Business Risk and How To Use Them

Up and Running

Debt-to-equity ratio. Banks, financial institutions, and investors typically use the debt-to-equity ratio to determine the risk of loaning money to an organization. Debt-to-equity ratio = (total liabilities)/(shareholders’ equity). Debt-to-equity ratio = (total liabilities)/(shareholders’ equity).

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