Question
Assume a venture capitalist requires a 40% rate of return per year. If the venture capitalist thinks that a company will be worth $50 million
Assume a venture capitalist requires a 40% rate of return per year. If the venture capitalist thinks that a company will be worth $50 million in five years, what percentage of ownership in the company will the venture capitalist require today in exchange for a $5 million investment?
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Modeling Monetary Economies
Authors: Bruce Champ, Scott Freeman, Joseph Haslag
4th Edition
1316508671, 1316508676, 9781316723302 , 978-1107145221
