Investing, whether in a hot new startup or a seasoned public company, is buying the future cash flows of a business. Since we don’t know the business future with certainty, we need to manage the inherent risk with investing. While most investors are familiar with business and balance sheet risk, …
أكمل القراءة »أرشيف الوسم : Business Plan
Mastering Valuation Beyond the Balance Sheet Investment Risk
Investing your hard-earned money is a journey filled with potential rewards, but it’s also fraught with risks. While most investors are aware of the common risks like business and balance sheet risks, the often-overlooked valuation risk can be the most detrimental. Let’s delve into these risks and understand how to …
أكمل القراءة »Methods of Business Valuation
It has been said that price is what you pay, and value is what you get. Determining a business’s true value is a nuanced process, more akin to an art than a precise science. That’s why it is always best to use multiple approaches in order to obtain a range …
أكمل القراءة »Navigating the Valley of Death: Strategies for Startup Thriving and Growth
Navigating the Valley of Death: Strategies for Startup Thriving and Growth The “Valley of Death” is a critical concept in the startup world, representing the perilous period between initial funding and sustainable revenue generation. This phase, characterized by negative cash flow, often leads to business failure. Statistics paint a stark …
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