Remove Business Model Remove Dilution Remove Distribution Remove Pre-Money Valuation
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Shark Tank Season 4 week 10 breakdown

Lightspeed Venture Partners

The first 15,000 units sold out in six weeks in specialty retailers that distributed it in the Quantico area, and another 80,000 are being made now. Daymond had invested in a competitive business previously, so he bowed out. Interestingly, this new deal actually lowered the pre money valuation for the company.

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Term-sheets and Valuations: Thinking about Negotiations - Startups.

Tim Keane

3]   However, if they are built bottom up, they demonstrate and make explicit a range of business model assumptions the entrepreneur is using to think about his business and its revenue model. An average of these ranges results in a pre-money valuation of about $4MM. stake in the company.

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Shark Tank Season 4 Week 6 breakdown

Lightspeed Venture Partners

This implies a pre money valuation of $1.045M. See my breakdown of week 2 for more on how to calculate pre money valuation.). The pre money valuations on the two deals were close enough to be a wash, but the ability to accelerate the business at twice the speed would have been a real differentiator.