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Valuations 101: The Dave Berkus Method

Gust

We recently started a series of posts on establishing the pre-money valuation of pre-revenue startup companies for purposes of investment by seed and startup investors. Dave’s valuation model first appeared in a book published by Harvard’s Howard Stevenson in the middle nineties. Add to Pre-money Valuation. Characteristic.

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What I Would Look for When Choosing a VC – Knowing What I Know Now?

Both Sides of the Table

I’ve been involved with SaaS companies with VCs who don’t understand demand generation, lead qualification, sales coverage ratios, sales forecasting or frankly when deals should be inside sales vs. outside sales. The best way – of course – is to reference check. Startups are hard. And so is venture capital.

Portfolio 364
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Term-sheets and Valuations: Thinking about Negotiations - Startups.

Tim Keane

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.

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When Entry Multiples Don’t Matter

Ben's Blog

When speaking with founders and private growth investors, we hear countless references to “multiples paid” on current or near-term revenue; both obsess over this because a higher multiple translates to a higher valuation. It starts with the complexity involved in valuing companies in general.

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How Startup Valuations are Driving Company Equity

ReadWriteStart

This article will assist you in gaining a fundamental understanding of equity valuation, kinds of equity, and other related topics. In the context of an equity definition, the “share” price refers to the relative value assigned to the corporation’s earning potential depending on various variables.

Valuation 108
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Working for Equity Instead of Cash

genylabs.typepad.com

Tracking and Forecasting the Trends Impacting the Future of Small Business. When we reference organizations that have provided us funding in the last year we will note it. Listed below are links to weblogs that reference Working for Equity Instead of Cash : Comments. Lessons from a Failed Forecast. Small Business Labs.

Equity 40
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How should I finance my new venture? - Startups and angels: Along.

Tim Keane

How to prepare a sales forecast for a business plan » March 09, 2011. 2] One of the huge mistakes entrepreneurs make at this stage is accepting friends and family money and assigning huge valuations to the company to reduce the size of future payments required.  Startups and angels: Along the way to success.

Finance 83