The Valuation canvas is a nice easy way for investors and entrepreneurs to value a startup using four well known valuation tools. It empowers investors to check the valuation of a startup and avoid overpaying and hurting their possible investment returns. It also brings some simple rigor to the often dark arts of startup investing and valuations. You can find this resource HERE.
By Matthew Kingsford
In an increasingly populated ecosystem, entrepreneurs still face many challenges when starting a new business, some of which can cause loss of profit, and even bankruptcy. With any new business venture, there is an element of risk involved and a lot of thought needs to be given to the type of business you plan to start. Why will people part with their money for the service you prodive? What's your target demographic, and do you have a unique sellig point (USP)? This will put you ahead of the competition.
Your startup’s future hinges upon your ability to secure two key ingredients for success: money and great people. Angel investors are among the best resources for these, however, angel investors vary widely in their expertise and abilities. Below is a look at the top qualities to seek in an angel and some key traits to avoid as you meet potential investors.
As an entrepreneur looking for startup capital and advice, it's a good idea to stay connected to as many experts as possible. One way to ensure you have a good handle on all of the venture capital opportunities available to you is to keep up-to-date with angel investor culture. Reading angel investor blogs is a great way to do this, while also gaining valuable new business insights that can help your startup succeed.
When scaling up a high growth business there are a series of potential funding rounds required.
These are rounds that a business may go through to raise capital (money) from investors, which will help them grow and expand.
Let’s start with a caveat that I’m not advocating anyone make a startup investment based on a valuation you’d do in only 10 seconds. Not for one second! But you might be able ascertain whether the valuation a startup is pitching you is in the right ballpark that fast.