Valutico

MAY 6, 2024

Valuation in M&A refers to the process of determining the fair market value of a company being merged or acquired for guiding financial decisions and negotiation strategies in the transaction. The terminal value can be estimated using the perpetuity growth model or the exit multiple approach.

Discounted Cash Flow 52

Discounted Cash Flow Precedent Transaction Analysis Weighted Average Cost of Capital Comparable Company Analysis 52

Equidam

APRIL 22, 2025

with Section 409A) require companies to establish the Fair Market Value (FMV) of their common stock through a formal valuation process. [6] Instead of adjusting an average, it assigns value increments for achieving these milestones, summing them up to a maximum potential pre-money valuation benchmarked for the region. [21]

Discounted Cash Flow 64

Discounted Cash Flow Terminal Value Marketability EBITDA 64

Equidam

APRIL 22, 2025

1] Unlike valuing established public companies with long track records and stable earnings, startup valuation operates in a realm of high uncertainty. [2] Valuation directly determines how much ownership (equity) a founder gives up in exchange for capital investment. [4] typically involves a new valuation negotiation. [5]

Discounted Cash Flow 52

Discounted Cash Flow Marketability Risk Premium Start-ups 52