article thumbnail

10 Rules of Thumb for Startup Investment Valuation

Startup Professionals Musings

Here are the components and “rules of thumb” that I recommend to every startup: Place a fair market value on all physical assets (asset approach). All principals and employees add value. Assign value to all paid professionals, as their skills, training, and knowledge of your business technology is very valuable.

Valuation 270
article thumbnail

Tom Terzis Shares the Common Mistakes People Make When Investing

The Startup Magazine

The entire investment industry is built on the concept known as the “time value of money,” and the factor that you can never recuperate is the time that you wasted. Waiting for those additional five years would cost them $4,916.16 a decade from now. because they missed valuable years of growth.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Ten Components of Startup Valuation For Investors

Startup Professionals Musings

Here are the components and “rules of thumb” that I recommend to every startup: Place a fair market value on all physical assets (asset approach). All principals and employees add value. Assign value to all paid professionals, as their skills, training, and knowledge of your business technology is very valuable.

Valuation 234
article thumbnail

10 Rules of Thumb for Startup Investment Valuation

Gust

Here are the components and “rules of thumb” that I recommend to every startup: Place a fair market value on all physical assets (asset approach). All principals and employees add value. Assign value to all paid professionals, as their skills, training, and knowledge of your business technology is very valuable.

Valuation 187
article thumbnail

Invoicing tips to slash A/R delinquencies

The Startup Magazine

The incentive might not be high enough if you’re mostly selling low ticket products and services, but could really incentivize customers if your services account for a large share of their operating costs. You won’t come out ahead if you are only looking at the time value of money.

article thumbnail

10 Ways to Size Your Company’s Value for Funding

Startup Professionals Musings

Here are the components and “rules of thumb” that I recommend to every startup: Place a fair market value on all physical assets (asset approach). All principals and employees add value. Assign value to all paid professionals, as their skills, training, and knowledge of your business technology is very valuable.

article thumbnail

Constructing Pricing Strategy For Subscription Products

ConversionXL

Note: if you’re a startup, these techniques might be overkill. Sure, these phone sells cost time and money. In addition, if price is one of the attributes, and cost information is available, the most profitable combination of features can be identified.”. Look up the Time Value of Money.

Product 48