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10 Rules of Thumb for Startup Investment Valuation

Startup Professionals Musings

Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M. If you are still losing money, skip ahead to the cost approach.

Valuation 270
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10 Ways to Size Your Company’s Value for Funding

Startup Professionals Musings

Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M. If you are still losing money, skip ahead to the cost approach.

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10 Rules of Thumb for Startup Investment Valuation

Gust

Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M. If you are still losing money, skip ahead to the cost approach.

Valuation 187
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Ten Components of Startup Valuation For Investors

Startup Professionals Musings

Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M. If you are still losing money, skip ahead to the cost approach.

Valuation 234
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Non Recurring Revenue Businesses

Rob Go

The first is practical and real – it’s hard to forecast and plan expenses when revenue might swing significantly. The assumption here is that that increased value is NPV positive based on other potential uses of the capital that you could have gotten up front. That is not good. Some categories just are this way.

Revenue 53