Question
A start-up company is seeking $5m for its Series A investment round. The start-up is expected to grow to $200M in sales and $20M in
A start-up company is seeking $5m for its Series A investment round. The start-up is expected to grow to $200M in sales and $20M in profit by year 7. Comparable firms in the industry are trading for 10x earnings. What is the implied exit value for VC? The VC is seeking an ROI of 50%. What are the post-money and pre-money valuations for this start-up?
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Personal Finance
Authors: Jack Kapoor, Les R. Dlabay, Robert J. Hughes
2nd Edition
0256079056, 9780256079050
