Iterative – Startup Valuations, $40M for Iterative Companies, Group Office Hours
iterative.substack.com
Startup Valuations Q: I'm thinking about raising money for my startup. How do I figure out what my valuation is? I heard it should be some multiple on my revenue but that seems way too low. Any advice? This is my first time fundraising. Good question! Valuations based on a multiple of revenue are typically used as shorthand and are more appropriate for later stage companies and rarely early stage companies. The multiple varies dramatically depending on industry, geography, stage, etc. Some venture capital firms will have their own guidelines for valuation but there's no industry standards.
Iterative – Startup Valuations, $40M for Iterative Companies, Group Office Hours
Iterative – Startup Valuations, $40M for…
Iterative – Startup Valuations, $40M for Iterative Companies, Group Office Hours
Startup Valuations Q: I'm thinking about raising money for my startup. How do I figure out what my valuation is? I heard it should be some multiple on my revenue but that seems way too low. Any advice? This is my first time fundraising. Good question! Valuations based on a multiple of revenue are typically used as shorthand and are more appropriate for later stage companies and rarely early stage companies. The multiple varies dramatically depending on industry, geography, stage, etc. Some venture capital firms will have their own guidelines for valuation but there's no industry standards.