13 Valuations and Raising Capital

Business ValuationValuations and finding an investor are the most talked about areas for entrepreneurs and their startup businesses because it’s a common way to start a new venture if you don’t have enough of your own money. There are many ways to value a business and they are based on:

  • The cost of getting to the starting point
  • The revenue (cashflow) that the business generates
  • The potential for future incomg (usually involved with patents)
  • The net profit of the business

The cost price is easy to work out and the net profit is also relatively easy to work out. If you take a look at the value of publicly listed companies you’ll find that their valuation is measured (in part) as a multiple of their price to earnings (the Price to Earnings or PE ratio).

Valuation also depends on whether there are similar examples or how much demand there is in the market for what your business does. This subject of our course is NEW so watch out for blog posts and articles initially that cover this important topic.

See the other subjects in the Small Business Finance Courses  Enrol Now

Free Raising Capital Email Course

 

Other business courses

Marketing Training Courses

Read more about business marketing training courses..

Sales Training Courses

Read more about business sales training courses..

Operations Training Courses

Read more about business operations training courses..

The Australian Small Business Blog

Subscribe to our business blogWelcome to the ASBC Blog.

OUR BLOG PROVIDES information about bookkeeping, social media, small business operations and marketing and a whole lot more. It will keep you up to speed with new and emerging trends and technologies, as well as updates to our courses. Other blog announcements include:
  • New course content for each of our online courses (Accounting, Marketing, Sales, Operations, Support)
  • Free training videos and content that we release — and there's lots of them!
  • Free tips ‘n’ tricks relating to the content in our courses
%d bloggers like this: