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 […]
Valuation of Start ups
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 analyse the various means to value a start-up. When we talk about valuation of a company, the first things that […]
Valuation of Start-ups – The Scorecard Valuation Method
[vc_row][vc_column width=”1/2″][vc_single_image image=”2048″ img_size=”full”][/vc_column][vc_column width=”1/2″][vc_single_image image=”2049″ img_size=”full”][/vc_column][/vc_row][vc_row][vc_column][vc_column_text] Valuation of Start-ups – The Scorecard Valuation Method Prateek Mittal In continuation of our previous article on valuation of start-ups, here is another method which is commonly used by angel investors to value pre-revenue start-ups. The method is known as the Scorecard Valuation method and the key elements […]
Valuation of Start-ups – The Risk Factor Summation Method
[vc_row][vc_column width=”1/2″][vc_single_image image=”2043″ img_size=”full”][/vc_column][vc_column width=”1/2″][vc_single_image image=”2044″ img_size=”full”][/vc_column][/vc_row][vc_row][vc_column][vc_column_text] Valuation of Start-ups – The Risk Factor Summation Method Prateek Mittal Welcome back people to our series of articles on Valuation of Start-ups. 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 […]