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Valuation

Articles and posts regarding business valuation and its important for your company and management

[PARAMETERS UPDATE P5.2] AVERAGE AND MAXIMUM VALUATIONS

You can refer to the table below to see how the average valuation for the Scorecard Method and maximum valuation for the Checklist Method will change for your country specifically after June 3rd, 2019. We base our new country estimates on real transactions by country since November 1st, 2016. Whenever we were not able to find a large enough sample of pre-money…

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PARAMETERS UPDATE P5.2

On June 3rd, 2019 you’ll be upgraded to the latest version of Equidam with updated valuation parameters. This may result, on average, in a slight valuation increase. What’s changing 1 | Average valuations used in the Scorecard Method and maximum valuations used in the Checklist Method We base our estimates on real transactions by country since November 1st,…

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PARAMETERS UPDATE P5.1

On March 4th, 2019 you’ll be upgraded to the latest version of Equidam with updated valuation parameters. This may result, on average, in a slight valuation decrease. What’s changing 1 | Average valuations used in the Scorecard Method and maximum valuations used in the Checklist Method We base our estimates on real transactions by country since July 1st,…

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[PARAMETERS UPDATE P5.1] AVERAGE AND MAXIMUM VALUATIONS

You can refer to the table below to see how the average valuation for the Scorecard Method and maximum valuation for the Checklist Method will change for your country specifically after March 4th, 2019. We base our new country estimates on real transactions by country since July 1st, 2016. Whenever we were not able to find a large enough…

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[PARAMETERS UPDATE P5.1] EBITDA MULTIPLES

You can refer to the table below to see how the EBITDA multiples for the industries available on the Equidam platform will change on March 4th, 2019. These are applied to compute the Terminal value in the DCF method with Multiple and the potential exit value in the VC method. The data is based on the early…

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Asset based valuation

Why isn’t asset based valuation for startups?

Many entrepreneurs have the misconception that the value of their businesses is the sum of their parts e.g. assets minus liabilities. The value of an early stage 3D printing startup that owns one machine worth $2M and has outstanding debt for $0.5M seems to be the acquisition price of the asset minus the outstanding debt,…

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Startup valuation_storytelling

Can Uber’s Valuation Be Explained By Only Numbers?

Can you measure the value of a company relying entirely on financial tools and models? Should you ignore the story and vision behind the numbers? We say that an interplay between the numbers and the story produces the most reliable valuation. Demystifying Valuation The business valuation process is an agreement between two parties, where the…

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How Do Investors Value A Startup?

Valuing companies is tricky. The methods used to value a company are dependent on the stage of development of the startup. Coming up with the price for early-stage startups is particularly difficult because they have little-to-no track record. So here comes the question:  How do angel investors value a startup? If you are in this…

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