Both Sides of the Table

SEPTEMBER 15, 2022

We drew this conclusion after a meeting we had with Morgan Stanley where they showed us historical 15 & 20 year valuation trends and we all discussed what we thought this meant. Should SaaS companies trade at a 24x Enterprise Value (EV) to Next Twelve Month (NTM) Revenue multiple as they did in November 2021? And reset they must.

Technical Review 416

Technical Review Pre-Money Valuation San Francisco Valuation 416

Steve Blank

APRIL 23, 2014

buy out an entire company for its revenue and profits. VCs like acquisitions as much as IPOs because the acquiring companies often can rationalize paying large multiples over the current valuation of the startup. However, these nosebleed valuations make it even more important in getting the acquired company integrated correctly.

Acquisition 332

Acquisition Intellectual Property Silicon Valley Startup 332

David Teten

JANUARY 19, 2021

More and more startups are pursuing Revenue-Based VCs , but “RBI” doesn’t fit everyone. Flexible VC 101: Equity Meets Revenue Share. By tying payments to actual revenues, founders and investors remain aligned around the company’s real-time performance, good or bad. Of the Inc. 5000 companies, only 6.5% raised from angels.

Cofounder 78

Cofounder Technical Review Equity Dividend 78

YoungUpstarts

NOVEMBER 20, 2019

You may be able to generate revenue, but VCs want exponential growth. The market for our product was global, and we had unique advantages in terms of our product and how we distributed it to customers. Have a reasonable attitude about your early-stage valuation, and don’t get too hung up on it. Be ready when it counts.

Technical Review 140

Technical Review Due Diligence Early Stage Differentiation 140

Tim Keane

JANUARY 12, 2010

Term-sheets and Valuations: Thinking about Negotiations.   I’ve sat down with entrepreneurs and a copy of a term sheet guide I like [ “Term Sheets & Valuations - A Line by Line Look at the Intricacies of Venture Capital Term Sheets & Valuations ” by Alex Wilmerding, Aspatore Press.] The Valuation Question.

Term Sheet 68

Term Sheet Valuation Dividend Liquidation Preference 68

Up and Running

JANUARY 5, 2018

In grocery, which represents over half of Walmart’s revenues, it plans to add 1,000 online grocery order pickup locations in 2018 in stores around the US; in December 2017 it unveiled a meal kit option and a partnership with Buzzfeed that will integrate Buzzfeed recipes with Walmart groceries. Increase in-store efficiency.

Acquisition 94

Acquisition Hawaii Partner Non-Compete 94

Start Up Blog

FEBRUARY 13, 2016

In case you don’t know, many of them of have the pleasure of only paying 1% tax on their revenue. Their ‘so called’ profit numbers are much lower than you’d expect them to be based on their revenues. So low, that you’d probably close down the business if your profit to revenue ratios ever got that low. tax on $10 of revenue.

Intellectual Property 48

Intellectual Property Australia Singapore Government 48