Since no one has actually answered your question, let me try and give you some specific guidance: The "fair" range would probably land between $5m-$15m pre-money. For the low-end ($5-6m) to be fair, you'd be in a tiny (measured by total addressable market) with slow growth on that $2m as mea...
Hmm .. Interesting that you say your sector isn't being addressed. Wonder why ... But if so, then that's an opportunity. I've spent the past 4 years specializing in probably THE hardest market for making accurate appraisals: the domain name industry. For me as an engineer, that has meant crunc...
The answer really depends on many factors. You are correct that many SaaS companies valuation falls into the range of 3 to 9 times revenue. I would say that companies that have a very high net income % (25%+) would fall more to the range of 7x-9x and companies that are closer to breakeven or lo...
I'm both an active angel investor and entrepreneur who has recently raised capital. I'll start with what is standard in Silicon Valley and then apply various multiples and discounts where relevant. For an angel or early seed round, the current going rate is $3m-$5m pre-money via a capped note ...
Hire an independent valuator. In the case of US companies, a 409A valuation has to occur at every priced financing round, so if you've had one done, that would serve as guide. But you might not even have the right to sell your shares. Your shares should be subjected to vesting and your volunta...
As you may know, we acquired Clarity recently and have done numerous acquisitions at Startups.co so we spend a lot of time thinking about this. I've also personally been acquired a few times so I've been on both sides. With that said I think the earlier comment about how much value you can brin...
With all respect to Dan, I'm not seeing anything like that. You said "pre-revenue." If it's pre-revenue and enterprise, you don't have anything proven yet. You would have to have an insanely interesting story with a group of founders and execs on board with ridiculous competitive advantage bui...
Good question. 6% churn per month on $5M is $300,000. Seems like a lot of money to me without even knowing your cost of customer acquisition. It's like trying to fill a leaking bucket. A little uptick in churn rate will have a HUGE NEGATIVE impact on your valuation: you reduce your LTV and ARPA w...
Do yourself a favour & grab a copy of Venture Deals: http://www.amazon.com/gp/aw/d/1118443616
If it's generating USD $10,000 or more in MRR, then you can try listing if on ExitRound but based on your description, I think a sale at this moment is unlikely. Acquisitions like the one you're dreaming are either motivated by the book of business or an engineering team. Code is thrown away an...