Gust

NOVEMBER 18, 2012

Once you have a potential investor excited about your team, your product, and your company, the investor will inevitably ask “What is your company’s valuation?” 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. Image via eHow.com.

Valuation 187

Valuation Pre-Money Valuation NPV Intellectual Property 187

Startup Professionals Musings

SEPTEMBER 6, 2010

Once you have a potential investor excited about your team, your product, and your company, the investor will inevitably ask “What is your company’s valuation?” 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.

Valuation 234

Valuation Pre-Money Valuation NPV Startup 234

Rob Go

MAY 26, 2016

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. The exception are recurring revenue businesses with an amazingly viral free product that very effectively get consumers to subscribe without needing significant marketing and sales expenses.

Revenue 53

Revenue NPV Valuation Forecast 53

Both Sides of the Table

SEPTEMBER 8, 2009

I took an advanced computer course in high school where I learned to build databases in Ashton Tate’s dBase III+ and to compile my designs using a product called Clipper. Do you really think Porter’s Five Forces is going to help you figure out what feature set to launch or how to price your product? What about strategy?

NPV 337

NPV Chicago Balance Sheet Database 337

ConversionXL

AUGUST 10, 2016

Josh shared a graphical version of the model during his presentation… You have to choose the model that’s right for you and your product, but since healthy vs. unhealthy is likely more familiar, we’ll focus on that model throughout this article. In this case receiving 6 texts has a PPV of 26% and an NPV of 93%.

NPV 48

NPV Metrics Retention San Francisco 48

crowdSPRING Blog

OCTOBER 12, 2015

We see this every day with people buying products, attending movies, and even joining political movements. 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. Bandwagon effect.

NPV 48

NPV Net Present Value Small Business Valuation 48

crowdSPRING Blog

OCTOBER 18, 2010

We see this every day with people buying products, attending movies, and even joining political movements. 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. Bandwagon effect.

Small Business 106

Small Business NPV Net Present Value Valuation 106

The Next Web

DECEMBER 16, 2012

Income-based valuations consider aspects like CAPM (capital asset pricing model), IRR (internal rate of return), NPV (net present value), WACC (weighted average cost of capital), NCF (net cash flow), and GAAP (generally accepted accounting principles). Asset approach. The quality, reliability and cost of site traffic.

Valuation 128

Valuation NPV Net Present Value IRR 128

andrewchenblog.com

JANUARY 28, 2010

Persuading peopleto pay for your service and invite their friends requires creativity, product design, and lots of metrics. To me, this tab captures the “art&# side of building a freemium business. I’m using a fixed retention number to set a lower bound, and for mathematical simplicity.

CPA 51

CPA Retention Viral Acquisition 51