Individual measurements should include pipeline value by lead stage, closed revenue by program, pipeline growth, and overall win rate. MORE

Individual measurements should include pipeline value by lead stage, closed revenue by program, pipeline growth, and overall win rate. In addition, the best companies compare the negative and positive cash flows over a period of time to determine the net present value (NPV) of planned future marketing spending. MORE

A Refresher on Net Present Value – crowdspring.co/11LJvw6. Thanksgiving is past and Christmas, Hannukah, Kwaanza and New Years are fast upon us, so what better way to prepare than with a taste of the toally bizarre. Yes, we do admit a fondness for Hasselhoff aroound the crowdSPRING office, and above is a video that simply could not escape our notice. MORE

I’m talking about the 10-20 minute slide presentations and accompanying questions and answers. . Read Resonate (better yet, get the new iBook version , which is sensational), or Presentation Zen , or just at least the blog post Really Bad Powerpoint. Internal rates of return and net present value. ” I hate hearing about a $43 billion market, and even more so when you present a sales forecast validated by getting some percentage of that market. MORE

8 Qualities of Leaders Who Deliver Value Every Day – crowdspring.co/1A8QSK8. A Refresher on Net Present Value – crowdspring.co/11LJvw6. “Make it snow,” says Captain Picard! Have a listen to this wonderful leader’s very own version of this old holiday chestnut. 13 days until Christmas, but who’s counting, anyhow? WE ARE! MORE

Many consumer Internet business executives are loyalists of the Lifetime Value model, often referred to as the LTV model or formula. Lifetime value is the net present value of the profit stream of a customer. This concept, which appears on the surface to be quite benign, is typically used to compare the costs of acquiring [.]. advertising Internet Uncategorized Venture Capital Web/Tech LTV MORE

Here is theFall 2008 version: Your key monthly business metrics are: CMRR (Committed Monthly Recurring Revenue), Churn, and Cash flow - “Bookings” is for suckers Customer Acquisition Cost (CAC) and Customer LifeTime Value (CLTV) are the best indicators of long term value creation Tune before you scale: the Sales Learning Curve is even more critical for SaaS and it takes at least $300k MRR to climb it. You validated our business model and added huge value to our efforts. MORE

Remember that your counterpart in any negotiation may present information that is self-serving, so look skeptically at the particulars. In economic valuation, past cost can never be a factor for arriving at a value, and formulas such as NPV (net present value) will never take into account money which has already been spent. Einstein once said, “Common sense is the collection of prejudices acquired by age eighteen.&# MORE

Usually at this point in time, an entrepreneur can maximize short-term value as acquirers will buy more on vision and technology than on business fundamentals. It seems that everyday there is a new annoucement of a tiny startup being bought by a large company. MORE

Disruptable Pattern #1: The asset management industry collectively adds minimal value to its clients above the option of investing in index funds. Of course, asset management firms also sell peace of mind, tax minimization, and other services besides just increasing the value of your assets.). Another exception are investors who proactively add value to their portfolio companies (as ffVC strives to do), which some of my research indicates should help to increase returns. MORE

Read Resonate , or Presentation Zen , or just at least the blog post Really Bad Powerpoint. Your co-presenters were bored. When more than one person presents, the others have to act interested. You focused on internal rates of return and net present value. I’m glad they taught you internal rates of return and net present value in business school. Yes, I did hear that in a presentation once. MORE

1-800 Flowers, meanwhile is valued at 0.6x At the end of the day a business is worth the net present value of future cash flows, EBITDA is a good proxy for cashflows, and future EBITDA is a function of revenues today, revenue growth and EBITDA margin. Coupling this analysis with a view on market size and likely market share generates an exit value which in turn should determine the financing strategy. MORE

Remember that your counterpart in any negotiation may present information that is self-serving, so look skeptically at the particulars. In economic valuation, past cost can never be a factor for arriving at a value, and formulas such as NPV (net present value) will never take into account money which has already been spent. EDITOR’S NOTE: We originally published this post back in 2010. MORE

Individual measurements should include pipeline value by lead stage, closed revenue by program, pipeline growth, and overall win rate. MORE

In an online marketplace like Flippa , we’ve seen buyers and sellers try out the full gamut of approaches for valuing websites — some more creative than others. Once you decide to get your site in shape for a sale , it’s important to value it properly. It calculates value on the bases of revenue that the buyer can expect to earn from the site, taking into account the risks that are involved in operating it. What drives value? The final value driver is technology. MORE