I would like to hear from those folks that have gone through their initial market research and idea validation stages of their start-up and would like to share how they went about making sure their...
Suppose you run a small dev shop with 4 people (all software developers) and have been doing dev work for few clients. For one of these clients the dev shop dedicates about 70% of the time on...
Upon sale of an LLC, how would I express the values of intangible assets the LLC has generated (e.g. certain access rights, processes and procedures, IP, and customer relationships)? These are...
Background : Company A has developed a software product. Revenue is about $8K per month; margin is about 75% (after royalties). Debt owed to angel and family/friends investors is about $550K. The...
Is there are particular method for banks or individuals when their capital is invested in the company before going public. To make it more clear how was Facebook Inc. and Goldman Sachs deal valued...
I'm considering investing in a company that a friend of mine has started, as a means to help him bring his plans to fruition quicker, and hopefully making a decent profit. The start up company is...
Lets assume the example of Groupon which is going to be public this year or next year.Suppose if someone invests $100Million in the company,will its valuation increase for the individual or for its...
TL;DR: Worked a year+ on code we still own, founder refuses to raise capital (wants to bootstrap) and is now low-balling us, we're willing to walk away--what would you do? Long version (detailed...
We've this 3 year old, profitable startup going steady We sell web templates and web apps Last 12 month's gross sale is over $1 million with 75% profitability Staff of 13 people working on...
As a small development company we have worked on several projects concurrently using the revenue to bootstrap other projects. We now have reached a stage where we have several mature...
I'm in the process of setting up a company, and am trying to figure out what numbers to put in the Share Structure Table in the company registration form (download here ). I will be the sole...
How do you calculate the worth of your company when you are looking for funding? If i sell my company outright today the value is about $200K but this does not mean that i will take on $100K...
Out of a team of three, two of us have decided that we need to part ways with the third partner. We want to buy her out, but we are struggling to value our venture and, therefore, don't have a clue...
Given the following assumptions: Assume total investment (founders + seed) to a SaaS company is 100K After one year, the monthly net profit is 5K, and it is growing at around 10% monthly. What...
If you can raise at a post-money valuation of $5MM and some company offered to acquired you, how much should you be asking for? I know it depends on a lot of things, but generally is it higher or...
We are a 3 month old, 3 part time team startup, working on a SaaS based web product. Can someone tell us how to do a pre-valuation of this startup? Well, just to add, our Alpha product is ready...
I was wondering, if a site has lets say 1 million page views per month, how much does that make it worth? Similarly, for signed up users, lets say, a thousand signed up users - how much does that...
We're planning on offering some key early employees equity in our startup, an LLC, in the form of ownership shares. The benefits include: - proportional sharing in distribution of profits -...
I always hear Jason Calacanis say that if there is a chance to take an extra round of funding, the founders should do this. Is that really true? Does it increase valuation somehow? For example, if...