Valuation is the process of determining a company’s worth. Valuations can be determined as multiplies of the company’s metrics or comparisons to other companies that recently valued at certain amounts.Example:
“Valuation” is probably the most common term from the hit TV show Shark Tank.
Startup Owner: “I am seeking $100,000 for 10% equity in my company.”
Shark: “The valuation of your company is $1,000,000, yet your sales are only $20,000. The valuation of your company is way too high. You’re dead to me. I’m out.”Keep Your Early Rounds Small, Your Valuation Reasonable, and Close Quickly
Who are these people?
With several entrepreneurs in our ranks, we understand what goes into building a business. It’s much more than turning an idea into revenues. It takes preparation, planning, sacrifice, and adaptability. And once you’ve given everything you have, occasionally the tide changes and you have to re-think your entire strategy. With hundreds of successful startups as clients, we thrive on turning an initial consultation into a successful, long-term relationship. So give us a call and let’s get started.