Entrepreneurial Finance and Private Equity

 

Early Stage

 

 

Class #4- Monday, October 28, 2002

 

Lecture: Valuation

 

Readings:

 

  1. “Valuation Issues in Start-Ups & Early-Stage Companies:  The Venture, Capital Method,” London Business School, December 1997.

 

  1. “Private Company Valuation,” Aswath Damodaran.  This article is too long for reading in one sitting but it is a good on-going reference (in short form) for a broad range of issues that arise in valuing private companies.

 

Optional Reading on Website:

 

“The Private Company Discount,” Journal of Applied Corporate Finance, Vol 12, N0.4, Winter 2000, pp. 94-101. This article is a useful article describing how multiples can be adjusted in a private equity setting.