Thu, 6 February 2020
In raising funding, valuation is a key number the CEO and investor must come to agree with. As a startup you must determine your target valuation. There are several methods.
One method is the Risk Mitigation Valuation Method. The Risk Mitigation method assigns dollar values to the startup’s accomplishments in each of four categories: Technology, Market, Execution, and Capital.
Technology Risk Mitigation -- 125
Market Risk Mitigation -- 175
Execution Risk Mitigation -- 500
Capital Risk Mitigation -- 150
If you add up all the values you get a pre-money valuation, $950,000 in this example.
Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.
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Direct download: Startup_Funding_Espresso_--_Risk_Mitigation_Valuation_Method.mp3
Category: -- posted at: 9:37pm CDT