The Equidam Monthly curates a collection of articles from the best in the industry and delivers it to you every last Friday of the month. READY: learn about the hottest startup trends out there. SET: receive advice from founders and leaders of the most transformative companies. GO!!!: get inspired by successes of people just like you.

entrepreneur

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,…

read more
term sheet

Term Sheet: Common Terms & Practices To Be Aware Of

In this post we are going to touch upon some of the concepts that occur in a term sheet and the general underlying principles. The difference between an angel round, a seed round and a Series A is that the latter involves institutional investors, such as VC firms. These types of investors usually have more sophisticated requirements in…

read more
convertible debt vs equity

Convertible Debt vs Equity Financing

Do you prefer podcasts? Listen to the audio here. You have probably heard of the concept of convertible loans. Quite frequently convertible debt is considered the better or even easier financing option compared to raising an equity round. Is that really the case? First things first, if you think you need a quick refresher on what convertible debt…

read more
comparables cover

Comparables: How To Use Them To Defend Your Valuation [Video]

Do you prefer podcasts? Listen to the audio here. In valuation theory, comparables are referred to as those companies or deals that are similar in size, type of company and industry. Comparables can be very useful for setting your own milestones and projections. Making any type of financial or business planning is simply making an educated…

read more
stock options

Employee Stock Options: Common Practices And Examples

In our previous post about how much equity to offer to investors at different funding rounds, we looked at the equity boundaries that a founder can offer at the different stages of development of a startup. However, there is also the case of rewarding early employees with stock options. In our experience, there is no one-size-fits-all…

read more
how to reach out to investors

How To Reach Out To Investors [Video]

Do you prefer podcasts? Listen to the audio here In our post about the right timing for fundraising we mentioned that, during “jogging”, founders should build up a list so that they can efficiently reach out to investors during the fundraising “sprint”. The question now is: How to build up this list? How to identify right potential…

read more
Planning and Timing Fundraising

Planning and Timing Fundraising

Fundraising is an activity that requires considerable time and effort and, as founders, we often wonder when is the right time to commit to it. Without proper planning and timing, fundraising can even become detrimental as it diverts a significant amount of attention from the business. Truth is, startups are always fundraising. However, in different…

read more
pitch deck template

How To Create a Startup Pitch Deck – [Template included]

Pitch decks are a set of slides that clearly describe and define your value proposition, your business case and why investors should give you their attention. While developing our pitch decks and sales presentations, we gathered experience in creating them and collected knowledge on the fundamental elements that investors want to be included in order to consider your…

read more
juliette-leufke-154599 (1)

Read This Before Writing A Business Plan

Call them unfashionable, long, unread, or boring, business plans are still the main way to communicate what your company stands for to banks, potential shareholders, buyers and general stakeholders. However, business plans’ bad reputation is usually unjustified. It stems from the many hours it takes to write them, the fact that they are obsolete by…

read more
financial projections: Top-down approach

Financial Projections: The Top-Down Approach

Financial projections cause headaches to many entrepreneurs. The main purposes of this article are clarifying the major doubts around this topic and giving guidelines on the methods, the mindset to adopt when computing projections and the tools and tips that may be useful in the process. The two main methods to calculate financial projections There are two main, widely…

read more