Startup Professionals Musings

NOVEMBER 26, 2012

All principals and employees add value. Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M.

Valuation 270

Valuation Pre-Money Valuation NPV Intellectual Property 270

Startup Professionals Musings

SEPTEMBER 30, 2011

All principals and employees add value. Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M.

Pre-Money Valuation 246

Pre-Money Valuation Valuation NPV Intellectual Property 246

Both Sides of the Table

SEPTEMBER 8, 2009

Don’t forget that long after you forget the CAPM pricing model, how to do regression analysis or how to calculate NPV without a spreadsheet – your network should endure. I do find it strange that the most valuable skill for any employee in any company isn’t emphasized AT ALL in my experience: sales.

NPV 337

NPV Chicago Balance Sheet Database 337

Startup Professionals Musings

SEPTEMBER 6, 2010

All principals and employees add value. Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M.

Valuation 234

Valuation Pre-Money Valuation NPV Startup 234

Gust

NOVEMBER 18, 2012

All principals and employees add value. Assign probabilities to active customer sales efforts, just as sales managers do in quantifying a salesman’s forecast. NewCo is projecting revenues of $25M in five years, even with a 40% discount rate, the NPV or current valuation comes out to about $3M.

Valuation 187

Valuation Pre-Money Valuation NPV Intellectual Property 187

Rob Go

MAY 26, 2016

The second is some version of “it helps you, your employees, and your shareholders sleep better at night.” The assumption here is that that increased value is NPV positive based on other potential uses of the capital that you could have gotten up front. That is not good.

Revenue 53

Revenue NPV Valuation Forecast 53