Startup Professionals Musings

NOVEMBER 26, 2012

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage the rollout, and maybe even pay themselves a salary. How much is NewCo worth to investors at this point (pre-money valuation)? Find “comparables” who have received financing (market approach).

Valuation 270

Valuation Pre-Money Valuation NPV Intellectual Property 270

Startup Professionals Musings

SEPTEMBER 30, 2011

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage the rollout, and maybe even pay themselves a salary. How much is NewCo worth to investors at this point (pre-money valuation)? Find “comparables” who have received financing (market approach).

Pre-Money Valuation 246

Pre-Money Valuation Valuation NPV Intellectual Property 246

Feld Thoughts

JUNE 4, 2014

On Monday we had a Foundry Group portfolio company sales summit. We are fortunate in that we’ve got a bunch of amazing sales execs in our portfolio, including several CEOs like Howard Diamond of MobileDay and Matthew Bellows of Yesware who have long histories selling and building sales organizations. Sales ROI yesware'

Software 140

Software Portfolio Sales Cofounder 140

Gust

NOVEMBER 18, 2012

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage the rollout, and maybe even pay themselves a salary. How much is NewCo worth to investors at this point (pre-money valuation)? Find “comparables” who have received financing (market approach).

Valuation 187

Valuation Pre-Money Valuation NPV Intellectual Property 187

Startup Professionals Musings

SEPTEMBER 6, 2010

The founders now need a $1M Angel investment to do the marketing for a national NewCo rollout, build a team to manage blogs and other resources, and maybe even pay themselves a salary. How much is NewCo worth to investors at this point (pre-money valuation)? Find “comparables” who have received financing (market approach).

Valuation 234

Valuation Pre-Money Valuation NPV Startup 234

Both Sides of the Table

SEPTEMBER 8, 2009

I took a job in corporate finance as an intern my junior year at First Interstate Bank and I did system design on the side, as my main job was corporate planning. My wife just pointed out to me that learning about the time value of money or how to value a company is something that every non-business undergrad should learn how to do.

NPV 337

NPV Chicago Balance Sheet Database 337

Seeing Both Sides

JANUARY 11, 2011

If your post-financing ownership will be 5%, then you are betting that you can sell for more than $200 million down the road. Risk adjust this number and take into account the time value of money, and then assess the trade-off. In other words, let's say you own 10% today and can sell for $100 million.

Post-Money Valuation 40

Post-Money Valuation Dilution Cofounder Valuation 40