In order to derive a robust business value regardless of the business model and the foundation stage we use four startup valuation methods.
Discounted cash flow method
With the discounted cashflow method, the value of your company's total capital is calculated as the sum of future free cash flows. After deduction of the market value of debt capital you get the value of the market value of equity.
Under the scorecard method, your startup is compared with peer groups in terms of different success factors. Your company's derivation from the average performance of the peer companies serves as a basis for the calculation.
Venture capital method
Under this method, the value of your startup is derived from the potential proceeds of a future divestment. The exit value is calculated on the basis of industry-specific multiples and the consideration of your investor's return.
DCF terminal multiple method
With the multiplicator method, the value of your startup is calculated by applying industry-specific EBITDA multiples in the last planning year on the respective revenue variable of your company.
Cost of capital
For the determination of the present value of the planned free cash flows, the equity and debt ratio weighted cost of capital serves as the capitalization interest rate.