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How will a buyer value your business?  

Berkonomics

Free cash flow is important when the buyer intends to finance the purchase using the revenue from the purchased company itself. 4. Book Value Method: This is the basic net worth of the Company on the balance sheet.

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How to Discuss Stock Options with Your Team

Both Sides of the Table

Options are gravy - I lived through the first dot com era where we used stock options as a recruiting tool. We give out stock options. Do the harder work and convince them to join anyways – without the stock option bravado. ** Unless you really are Mark Pincus, Mark Zuckerberg, Ev Williams or similar.

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Google Stock Option Re-pricing: Get Over It

abovethecrowd.com

Prominent finance publications like the WSJ and the Motley Fool along with several bloggers have recently taken shots at Google with respect to their decision to re-price a boat-load of employee stock options.

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What Do Boards Actually Do?

Both Sides of the Table

ICOs certainly have a place in startup financing. Executives run the day-to-day so often the board is more involved as a sparring partner at key intervals. The administrative work we actually do at board meetings?

Cofounder 217
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How to Prepare for a Board Meeting to Make Sure you Crush It

Both Sides of the Table

Very few people turn up with a strong sense of “what we should be doing” or ready to lean into a productive conversation The financials were prepared by the VP of Finance / CFO. The law firm has done its job of preparing the stock option requests, board meeting minutes, 409a valuations. There are too many pages.

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Crucial Things You Need To Know About Your First External Audit For Series B

YoungUpstarts

You are sure to be happy when your business reaches a Series B financing round because it usually means your company has a higher valuation. That can affect your first-time audit in two main ways: with stock option expensing and 409A Valuations. Stock Option Expensing. . 409A Valuations.

CPA 165
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Cash-strapped? How to pay for services with your startup’s equity

The Next Web

From Silicon Valley to Peoria, Illinois, cash-strapped startups look for inventive way to finance their business – often handing out equity to employees, consultants, vendors, and other service providers. Many young tech startups reserve 15%-20% for employee stock options. It’s a logical solution. Plan upfront.

Equity 116