Berkonomics

NOVEMBER 4, 2016

There is a universal truth: fewer than one in a thousand start-ups meet or exceed their projected revenues in the periods planned. So how do you use financial projections as valuation metrics when you know the odds of those being accurate predictors of the future are so very unreliable? But a lot of time has passed since then.

Valuation 48

Valuation North Carolina Oklahoma City Silicon Valley 48

Gust

NOVEMBER 4, 2011

Entrepreneurs and investors who have spent any time dealing with convertible debt seed financing transactions are likely to have encountered the subject of valuation caps. Valuation caps can come into play in settings other than seed-stage convertible note financing rounds. Read on for a fuller explanation. by February 2006).

Valuation 98

Valuation Pre-Money Valuation Merger Vesting 98

This is going to be BIG.

MARCH 23, 2015

So whereas seed rounds five years ago may have been less than a million dollars on a pre-money valuation of three or four million, today''s seed is up and over a million and usually closer to two million, with post money valuations nearing $10 million. So what if they put their fund to work earlier than expected?

Post-Money Valuation 60

Post-Money Valuation Valuation Pre-Money Valuation Seed Money 60

David Teten

FEBRUARY 9, 2015

The cover note should include: name, website, location, revenues (if any), detailed financing history (if any), and precise terms on which you are seeking to raise capital. If you are testing the market to see what terms you can get, just say, “We are targeting to raise $X at pre-money valuation of $Y.”

Venture Capital 60

Venture Capital Pre-Money Valuation Prospectus Early Stage 60

Hippoland

AUGUST 31, 2018

Then I asked him about his metrics, which are good, but they are were not at series A level. The outcomes of both companies, are of course, unknowable, but that is essentially what goes through the minds of investors who are looking at lots of companies with different valuations. And there’s a huge difference in valuation.

Pre-Money Valuation 90

Pre-Money Valuation Valuation Silicon Valley Early Stage 90

Berkonomics

DECEMBER 19, 2013

Revenue projections: What will happen to the company if the revenues and earnings projected on a worst case basis are not achieved as predicted? Valuation and fund-raising : How did you arrive at your proposed pre-money valuation? Has this been tested with investors?

Pre-Money Valuation 105

Pre-Money Valuation Liquidity Event Cofounder Valuation 105

Hippoland

AUGUST 31, 2018

Then I asked him about his metrics, which are good, but they are were not at series A level. The outcomes of both companies, are of course, unknowable, but that is essentially what goes through the minds of investors who are looking at lots of companies with different valuations. And there’s a huge difference in valuation.

Pre-Money Valuation 48

Pre-Money Valuation Valuation Silicon Valley Early Stage 48

This is going to be BIG.

SEPTEMBER 7, 2012

There are a lot of people that artificially group together performance metrics for venture, and try to extrapolate successful stratagies from it. In the late 90's, it wasn't surprising that companies with no revenue that were funded at 100 million dollar valuations didn't survive. Do what you're good at. It's that simple.

Later Stage 99

Later Stage Down Round Pre-Money Valuation Early Stage 99