Hippoland

AUGUST 31, 2018

Another consideration here is that in the minds of pre-seed investors (who are very often small funds and will be allocating most of their capital in the first round or two), valuation matters a lot more to them than a larger fund who might invest in you at this stage as an option for later.

Pre-Money Valuation 90

Pre-Money Valuation Valuation Silicon Valley Early Stage 90

dondodge.typepad.com

JANUARY 15, 2011

So they will give you a pre-money valuation somewhere around the amount you raise. Sounds strange, but it usually works out that if you are raising $2M the VCs will value your company at $2M pre-money, and $4M post money so they end up with 50% of the stock. Error type: Your comment has been saved.

Equity 40

Equity Employee Dilution Valuation 40

Hippoland

AUGUST 31, 2018

Another consideration here is that in the minds of pre-seed investors (who are very often small funds and will be allocating most of their capital in the first round or two), valuation matters a lot more to them than a larger fund who might invest in you at this stage as an option for later.

Pre-Money Valuation 48

Pre-Money Valuation Valuation Silicon Valley Early Stage 48

This is going to be BIG.

SEPTEMBER 7, 2012

If you're investing at pre-money valuations in the low to mid single digits, then how much worse can the next round even get? If I invest at a 4 pre and the next round investor says, "I'll do this, but only at a 2 pre," then we're already effed and something went wrong. Down from what?

Later Stage 99

Later Stage Down Round Pre-Money Valuation Early Stage 99

www.currentlyobsessed.com

MAY 28, 2010

Instead of “We are worth about $5m because we have done XYZ and we need to raise $1m, so let’s sell 20%&# it’s better to think about valuation as an output variable, like “Let’s raise $2mm and sell 33%, our (pre-money) valuation is therefore $4mm.&# Future value is key.

Valuation 42

Valuation Channel Pre-Money Valuation Term Sheet 42

www.paulgraham.com

OCTOBER 23, 2010

They all use the same simple-minded model.They seem to have approached the problem by thinking about how todo database matches instead of how dating works in the real world.An Andyet theres a lot of money at stake. Ididnt realize that when we were raising money. undergrad could build something better as a class project.

Startup 105

Startup Cofounder Software Stock 105

Lightspeed Venture Partners

SEPTEMBER 23, 2012

The right number to focus on is pre money valuation as that is how an investor is valuing the company before the investment. Post money valuation = Pre money valuation + Investment. post money valuation and a $1.35M pre money valuation.

Pre-Money Valuation 163

Pre-Money Valuation Post-Money Valuation Valuation Dilution 163