Equidam

APRIL 11, 2023

In a previous article, we looked at the role that financial projections (and the associated DCF methods) play in startup valuation, which you can read here. In fact, simply going through the steps involved in these calculations provides a useful lesson on the drivers of valuation.

Start-ups 87

Start-ups Marketability 87

Lighter Capital

SEPTEMBER 28, 2023

When “growth at any cost” was the name of the game in tech, founders could breeze by without calculating and comparing their startup’s EBITDA margin. An EBITDA margin is the ratio of EBITDA to revenue; it shows how operating expenses are eating into a company’s profits. How high should you aim? What is considered good ?

EBITDA 52

EBITDA Finance Start-ups Marketability 52

Lighter Capital

AUGUST 10, 2023

If you’re a founder at an early stage SaaS startup, you’re always looking for ways to drive higher and higher company valuations, especially as you move from one round of funding to the next. While there are many startup valuation methods , one of the most prominent methods used for SaaS startups is the multiples method.

Start-ups 98

Start-ups Marketability Finance Equity 98

Equidam

DECEMBER 20, 2022

Angel investing is the practice of investing in startup companies, typically at the earliest stage of their development – where there is too much risk even for the appetite of venture capital firms. Is it worth calculating valuation for pre-seed startups? Here’s the thing: some calculation is always done.

Alpha 52

Alpha Marketability 52

Lighter Capital

FEBRUARY 12, 2024

A startup founder begins the entrepreneurial journey owning 100% of the company, or a split of that if there are co-founders in the mix. As if building and growing a new, successful business isn’t challenging enough, founders often struggle with preserving their hard-earned equity throughout the startup life cycle.

Equity 52

Equity Start-ups Finance Marketability 52

RNC

JANUARY 12, 2023

ESOPs are often a valuable tool for startup businesses, as they can help to attract and retain talented employees and align the interests of employees with those of the company. Read on if you’re interested in learning why and how ESOP valuation works so well for startups. What is ESOP valuation?

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Dividends Business Valuation Marketability 52

Startup Valuation Blog

MARCH 15, 2022

Do you want to increase the value of a startup? . . How To Increase The Value Of A Startup? The startup time of the business is the high time that analyzes the future success rate of the business. Any decision that is made in the startup period of the business has an effect on its future growth. Introduction.

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Start-ups Marketability Business Enterprise Firm Value 100

Equidam

JUNE 10, 2022

In 2013 equity crowdfunding was making headlines as the new frontier for startup investment. Especially when it comes to valuation. Any regular user of Crowdfunding platforms will be aware of how often founders are asked to justify their valuation by retail investors. In this article, we’ll help you to do exactly that.

Start-ups 92

Start-ups Equity Marketability 92

Sharp Sheets

APRIL 19, 2022

There are a number of startup valuation methodologies. Although none of them are perfect (as explained in our article here), they all try to calculate a valuation for a business based on certain factors. By far the most common methodology investors use to value startups is the Venture Capital Valuation Method.

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Lighter Capital

NOVEMBER 17, 2022

Determining your startup’s valuation is one of the more difficult tasks you’ll face as a founder. Getting it wrong can cost you equity and diminish future capital investments — and in some cases it could lead your startup to fail. Why valuing startups is so challenging. How to determine and defend your SaaS valuation.

Equity 52

Equity Start-ups Marketability Finance 52

Lighter Capital

AUGUST 31, 2023

Before we show you how to calculate EBITDA margin and how to interpret it, we’ll define EBITDA, discuss its importance, and clarify how EBITDA margin compares to other profitability measures. This percentage indicates how much of a company’s operating expenses are eating into profits. What is EBITDA?

EBITDA 52

EBITDA Start-ups Finance Equity 52

Sharp Sheets

JULY 7, 2021

A question we often get from entrepreneurs and founders goes: how can I assess a valuation my startup if it is pre revenue? Startup valuation always is a challenging and somewhat inaccurate exercise due to their inherent level of risk and uncertainty. The post How To Value A Pre-Revenue Startup?

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Startup Valuation Blog

DECEMBER 15, 2021

The value of a startup is affected by many factors. Here is a list of nine factors that affect the value of a startup. . As we have already mentioned the importance of valuing your startup, an increased startup value directly means that you are excelling in your startup, and your continuous struggle will indeed bear fruit.

Start-ups 100

Start-ups Business Valuation Firm Value Marketability 100

Peak Business Valuation

FEBRUARY 21, 2024

However, statistics show that 90% of startups fail within 5 to 10 years. One of the most common reasons for startup failures is a lack of financing. By securing SBA loans for starting a business, you can establish a stable and successful startup business. 80% of these businesses are likely to survive their first year.

Business Valuation 52

Business Valuation Start-ups Finance Appraisal 52

RNC

AUGUST 22, 2023

Equity valuation holds significance. However, like any tool, equity valuation models present their fair share of challenges and limitations. In this blog post, we will delve into the balance, between precision and practicality, in equity valuation. Limitations of Valuation Models Valuation models can be quite useful.

Discounted Cash Flow 52

Discounted Cash Flow Equity Equity Financing Business Valuation 52

Startup Valuation Blog

AUGUST 13, 2022

This is what you Should Know About Company Valuation. . Most entrepreneurs who establish startups want to one day make an exit and sell the company when its value is hundreds of millions of dollars, if not billions. Here are the essential things every entrepreneur must know about company valuation.

Business Valuation 100

Business Valuation Marketability 100

RNC

AUGUST 15, 2023

Equity valuation holds significance. However, like any tool, equity valuation models present their fair share of challenges and limitations. In this blog post, we will delve into the balance, between precision and practicality, in equity valuation. Limitations of Valuation Models Valuation models can be quite useful.

Equity 52

Equity Discounted Cash Flow Equity Financing Business Valuation 52

Equidam

FEBRUARY 15, 2023

The valuation of early stage companies is a one of the more complex and contentious topic in the startup world. One topic which allows us to peer deeper into the logic behind early stage valuation is the role of financial projections. How can they possibly be accurate or believable? How are you going to get there?

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Intangible Assets Start-ups Marketability EBITDA 77

Equidam

FEBRUARY 1, 2024

This allows the corporation to hedge against innovation in a cost-effective manner, with options to either incorporate successful ventures into the parent company, or spin them out. This can be carried out without risk of damaging their core brand, should things go awry.

Beta 69

Beta Finance Equity Marketability 69

Lighter Capital

SEPTEMBER 26, 2023

For tech startups that need capital to grow fast when opportunity arises, there are two main funding paths to choose from: debt and equity. Though equity funding does have advantages for certain startups, it also has disadvantages. Though equity funding does have advantages for certain startups, it also has disadvantages.

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Debt Financing Finance Start-ups Equity 52

Equidam

JUNE 8, 2023

For over a decade Equidam has supported founders (and investors) with the challenge of setting a fair valuation for their ventures. When we started, in 2012, valuation was a hot topic in the fundraising process and venture capital was not as easy to come by. Today, valuation matters again.

Start-ups 77

Start-ups Finance Equity Marketability 77

Equidam

JULY 18, 2022

Neither side of the deal will be experienced with valuation or investment, so the formula really only makes sense if you are both shouldering risk in equal proportions. What makes a valuation fair? Valuation is the calculation of risk vs reward. How quickly will they be looking at a pre-seed or seed round?

Start-ups 77

Start-ups Equity Marketability 77

Lighter Capital

AUGUST 30, 2023

Gross profit margin (GPM) can tell you a lot about a SaaS startup's profitability and the efficiency of their operations. It's also a key financial metric that potential investors use to evaluate startups for funding and to determine their valuation. These are important financial calculations to get right!

B2B 52

B2B Accounting Firms Technology Marketability 52

Startup Valuation Blog

AUGUST 28, 2022

Did you know that you should Stop Validating Your Business Idea and Start Validating your Valuation? When consulting with marketing people and growth hackers, they will say that a necessary stage in establishing a new venture - whether it is a startup or another business is the stage of validating the idea or the market.

Start-ups 100

Start-ups Business Valuation Technology Marketability 100

Equidam

JUNE 21, 2023

Use Equidam to calculate a fair valuation for your company at any stage of development, with the expansion of our industry leading methodology to account for risk and growth potential at later stages. This flexibility is thanks to our approach of balancing a combination of methods according to the stage of development of the venture.

Equity 57

Equity Marketability 57

Brian DeChesare

SEPTEMBER 20, 2023

There are better and worse explanations for your answers, but in the absence of time travel, VC interviewers can’t determine if your startup investment pitch was “correct.” Market and Investment Questions – Which startup would you invest in? How would you analyze a potential investment and make a decision?

Start-ups 59

Start-ups Equity Marketability Terminal Value 59

Equilest

AUGUST 3, 2023

To delve deeper into funding and purchase valuations continue reading below Table of Contents Introduction to Valuation Methods What is Funding Valuation? What is Purchase Valuation? Valuation, in general, is the process of estimating the worth of an asset, business, or investment. What is Funding Valuation?

Discounted Cash Flow 40

Discounted Cash Flow Earnings Multiplier Asset-based Approach Comparable Company Analysis 40

Valutico

AUGUST 30, 2023

Terminal Growth Rate – A Simple Explanation with Formula The Terminal Growth Rate is often used in valuation models and financial projections, but what is it and why is it important? It’s used in financial modeling and valuation to estimate the company’s long-term value. What is the Terminal Growth Rate?

Terminal Value 98

Terminal Value Dividends Weighted Average Cost of Capital Discounted Cash Flow 98

RNC

NOVEMBER 9, 2022

ESOP valuation is a necessary aspect of ESOP. Why is ESOP Valuation Necessary? An ESOP valuation or a Sweat Equity valuation can only be done by a SEBI-registered (Cat-I) Merchant Banker as per the Indian Income Tax Law. ESOP valuation is critical to a company in its entirety. But it is not as simple as it sounds.

Business Valuation 52

Business Valuation Dividends Compliance Equity 52

Lighter Capital

SEPTEMBER 1, 2023

Gross margin is important for several reasons: It puts your startup on the path to profitability, It’s a good indicator of scalability; and Investors use it to evaluate and value your startup. A low gross margin typically indicates low operational efficiency, which creates challenges for scaling your startup.

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Finance 52

Valutico

AUGUST 17, 2022

Announcement: Valutico Provides an Easier Way to Value Startups. New Venture Capital (VC) method allows faster valuations of mid- to late-stage startups. Although there are more than 4,000 active VC firms globally, valuing start-up companies remains problematic because traditional valuation methods don’t always work.

Start-ups 52

Start-ups EBIT Weighted Average Cost of Capital Discounted Cash Flow 52

Equidam

JULY 27, 2023

If hype spreads like fire, then 2023 is a relatively low-oxygen environment for startups and a certain amount of pragmatism is required. The wrench in the machine for valuation An AI model could, in theory, look at the past performance of a pool of startups, and derive a set of trends which should be positive signals for the future.

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Marketability 52

Equidam

NOVEMBER 21, 2022

In this post, we’ll discuss everything that we have learned in the last 10 years performing startup valuation. Over the past 10 years, we’ve helped north of 140,000 startups to make sure valuation was not a dealbreaker when raising capital. solidifying your valuation. negotiating with investors.

Start-ups 57

Start-ups Marketability Alpha Finance 57

Equidam

APRIL 3, 2024

At the heart of every conversation between AI startup founders and potential investors, lies a question that neither side feels particularly confident answering: “What is the market size?” Early stage startups can pivot at any time, but one of the hardest things to change is the target market.

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Marketability Start-ups Technology 69

Startup Valuation Blog

NOVEMBER 16, 2021

According to Equitest's Review on techozens.com - Equitest is: "The Best & Trusted Business Appraisal Software for Startups, CPA". Choosing the right Online Business Valuation Tool plays an important role in any business life. Have you ever wondered how much does your company worth? Here are the main points of the review. ".

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Appraisal Business Valuation Discounted Cash Flow Start-ups 100

Equilest

SEPTEMBER 8, 2022

Wonder How To Read A capitalization table (A Cap Table)? Equitest's business valuation team discusses. Have you wondered how to read A capitalization table (a cap table)? The cap table is used as a reference by investors to know how much their shares are worth and how ownership changes over time. . .

Business Valuation 40

Business Valuation Equity Debt Financing Start-ups 40

Equilest

JULY 6, 2023

Discover how online business valuation is transforming the way companies assess their worth and empowering entrepreneurs to make informed decisions based on accurate valuations. Traditional methods of business valuation often involved extensive manual calculations and complex procedures. What is business valuation?

Business Valuation 40

Business Valuation Intangible Assets Technology Marketability 40