Equidam

JUNE 30, 2025

Down rounds hit 22% of all VC deals in Q2 2024—down from a peak of 33% in Q1 2024, but still the highest sustained level since the 2008 financial crisis. of all VC deals in Q1 2024—the highest level in ten years. Current State : 2024 saw improvement to 20% , but this still represents 1 in 5 funding rounds.

Equity 59

Equity Marketability Risk-free Rate Start-ups 59

Equidam

APRIL 22, 2025

Public market valuations, for instance, often influence private market expectations, especially since public markets represent a key exit route for VC investments. [49] Discount Rates / Risk Premiums: The discount rate used in DCF analysis (often the WACC) incorporates elements sensitive to market conditions. [21]

Discounted Cash Flow 52

Discounted Cash Flow Marketability Risk Premium Start-ups 52

Equidam

APRIL 22, 2025

10] , [23] , [2] Discount Rate: The rate used to discount future cash flows is typically the cost of equity, calculated via the Capital Asset Pricing Model (CAPM): Cost of Equity = Risk-Free Rate + Beta * Market Risk Premium. [23] 23] Risk-Free Rate: Tied to government bond yields (e.g.,

Discounted Cash Flow 64

Discounted Cash Flow Terminal Value Marketability EBITDA 64