You have to judge a cover by its book

Life Beyond Code

Let’s take a book, your book. Your book is the value you bring to the marketplace. The cover of your book is your personal brand. In other words, your cover is the assessment that the marketplace makes about the value you bring too the marketplace.

The Business Model Canvas Gets Even Better – Value Proposition Design

Steve Blank

Product/Market fit now has its own book. This week the author of the business model canvas, my friend Alexander Osterwalder, launched his new book Value Proposition Design , the sequel to his million copy best seller, Business Model Generation. His new book does three things: 1.

5 Financial Concepts Every Startup Founder Should Know

The Startup Magazine

Most financial valuation formulas value an asset by discounting the asset using the cost of capital (interest rate) to the present day. For example, there’s a reason today’s investors value Tesla more than Ford.

So, what if you run out of money?

Berkonomics

Cash and the value of your business. Running out of cash denigrates the very value of a business, reducing greatly any bargaining power with suppliers or acquirers. A fast-growing but undercapitalized company is not highly valued in an acquisition.

Mathematical vs. Economic Dilution of Startup Equity: Thinner Slices of an Extra-Large Pizza

Gust

Every S-1 contains the same language in Risk Factors that reads, essentially, “If you buy shares in our IPO, you will experience substantial and immediate dilution in the pro forma net tangible book value per share.”

How To Determine The Value Of A Small Business 

YoungUpstarts

Among these factors typically are the spouses’ age, health, contribution to the increase of the value of the marital property (as well as embezzlement of it), earning ability, the tax consequences for each spouse and so on. To agree on a value for the marital property.

SaaS Nomenclature

VC Adventure

For example when you say sales do you mean booking or revenue? If bookings are the total contract value of everything you sold in a period, how do you normalize for different contract lengths? Are renewals counted in bookings or broken out separately? New MRR – Also a bookings number but this normalizes for the monthly/annual/2 year booking but simply taking the one month value of all the customers sold in the period we’re talking about.

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SaaS Nomenclature

VC Adventure

For example when you say sales do you mean booking or revenue? If bookings are the total contract value of everything you sold in a period, how do you normalize for different contract lengths? Are renewals counted in bookings or broken out separately? New MRR – Also a bookings number but this normalizes for the monthly/annual/2 year booking but simply taking the one month value of all the customers sold in the period we’re talking about.

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Never run out of money.

Berkonomics

Running out of cash denigrates the very value of a business, reducing greatly any bargaining power with suppliers or acquirers. A company that otherwise might be valued at twice book value, 1x revenues, or 10 times earnings will be valued at a lower amount by potential acquirers knowing that the company shareholders are in a tough position and management hungry for leverage and a little more sleep at night. Money in the bank is like oil in the car.

VC Governance FAQ: (2) Especially now, when transparency is so important, why is limited financial information available from a private company?

Pascal's View

Putting that point aside, for a moment, what is absent is a quoted liquid market in their equity and debt securities, which means that the determination of the book value of those private companies is necessarily subjective.