Valuation is one of the most critical—and often most debated—topics in early-stage fundraising. Founders and investors frequently struggle to align on a fair valuation because startups typically lack stable revenues, profits, or long operating histories. Among the various valuation approaches available, the Discounted Cash Flow (DCF) method and the Venture Capital (VC) method are the most commonly discussed. This article breaks down both methods in simple terms and explains which approach works better for early-stage funding, particularly in the context of the Indian startup ecosystem.