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Airbnb S-1 (Part 1): So How Profitable Is This Thing Really?

View from Seed

Since inception this lodging marketplace (note 1) has enabled 825 million guest stays in over 200 countries with a cumulative booking value of more than $110 billion. Hotels generally don’t require any cash up front for a booking and vacation rentals typically require a partial deposit but not the full booking.

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How To Determine The Value Of A Small Business 

YoungUpstarts

So, unlike the assets and property, liabilities mean the things that cost the business money. There are two most common approaches which are used to figure the value of a business. The first is known as “the book value method.” Calculate the profit of your business.

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Financial Planning For A Recession

YoungUpstarts

One relatively pain-free step you can take early on is to review your vendors and make sure you’re not missing cost-cutting opportunities. You may have had the same vendors for a long time and not thought to negotiate lower prices or look around and see whether lower costs for similar products are being offered elsewhere.

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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. When a company acquires another business, they often pay a lot more than the book value of the company. Compared to Accounting, Finance is ruthlessly forward looking.

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Should you include your sweat equity in a business plan?

Berkonomics

It extends the cash available for research and other necessary fixed costs and gives the fragile, young company more “runway” to get to breakeven. But the tax effect would be the same if audited – you would owe tax on the booked value even if not paid in cash. What are you worth to the business? What is the solution?

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Include your labor value in your plan.

Berkonomics

It extends the cash available for research and other necessary fixed costs and gives the fragile, young company more “runway” to get to breakeven. But the tax effect would be the same if audited – you would owe tax on the booked value. Investors love it when entrepreneurs draw little or no money from their startups.

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