Valuation Newsletter
Valuation Newsletter covers important valuation news regarding fund raise, M&A or valuation along with our insights on the news. Our Coverage in this edition DREAM SPORTS ON DREAM RIDE TOWARDS DECACORN VALUATION Fantasy sport unicorn Dream Sports, the leading sports tech company with brands such as Dream11, Dream Capital, FanCode, DreamSetGo, Dream Game Studios, and […]
Valuation Drivers
Valuation of a business enterprise reflects the expectation on future potential and performance of the business. Valuation Drivers are factors which significantly affect the value of the business enterprise. There are many factors affecting the value of the business including both qualitative and quantitative factors. Many of these factors may not be controllable at enterprise […]
ESOP – An effective tool for Employee Compensation
Employee Stock Ownership Plan (“ESOP”) are one of the prominent instruments used in the corporate and start-up world to attract, retain and motivate the high skilled and talented personnel of the business. ESOP motivates the employees to drive the performance of the organization, resulting in maximization of shareholder’s value and thereby align the employees’ interest […]
Impact of Covid 19 on Valuation
Since February 2020, the world has been facing unprecedented crises due to the spread of Covid 19 pendamic and the subsequent lockdowns imposed by various governments. This has caused massive disruptions in the normal business activity and has led to restrictions on the movement of people. This was followed by crash in the stock markets […]
“Angel Tax” – Decoding Income Tax Provisions
[vc_row][vc_column][vc_column_text]Many #startups still grapple with the various nuances of the provision of Income Tax Act (Section 56(2) (viib) to tax the excess premium amount received by the startup over the Fair Market Value of shares. In Feb 2019, the Indian Government came out with a notification on exempting eligible #startups from the provisions of the section. In the […]
Startup Valuation
Prateek Mittal For a start-up looking to raise seed capital, there is always a question of how much to value your business and how much stake to dilute. In this article, we will try to analyze the various means of Startup Valuation. When we talk about valuation of a company, the first things that come […]
Startup Valuation Method – The Scorecard Valuation Method
Prateek Mittal In continuation of our previous article on startup valuation, here is another method which is commonly used by angel investors to value pre-revenue startups. The method is known as the Scorecard Valuation method and the key elements of the method are as follows: An average pre-money pre revenue valuation of other start-ups in […]
Startup Valuation – The Risk Factor Summation Method
Prateek Mittal Welcome back people to our series of articles on Startup Valuation. So far we have discussed a couple of methods for valuation of pre-revenue start-ups. The first was the Venture Capital Method and the second one was the Scorecard Valuation Method. Here we discuss the third method for valuation of start-ups, the Risk […]