Value your startup with the Risk Factor Summation Method
The Risk Factor Summation Method or RFS Method is a slightly more evolved version of the Berkus Method. First, you determine an initial value for your box. Then you adjust said value for 12 risk factors inherent to box-building.
The initial value is determined as the average value for a similar box in your area, and risk factors are modeled as multiples of $250k, ranging from $500k for a very low risk, to -$500k for a very high risk.
It is meant for pre-revenue startups.
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Value your startup with the Scorecard Valuation Method
The Scorecard Valuation Method is a more elaborate approach to the box valuation problem. It starts the same way as the RFS method i.e. you determine a base valuation for your box, then you adjust the value for a certain set of criteria.
Nothing new, except that those criteria are themselv...
Value your startup with the Berkus Method
The Berkus Method is a simple and convenient rule of thumb to estimate the value of your box. It was designed by Dave Berkus, a renowned author and business angel investor. It is meant for pre-revenue startups.
The starting point is: do you believe that the box can reach $20M in reven...
Value your startup with the Comparable Transactions Method
The Comparable Transactions Method is really just a rule of three.
Depending on the type of box you are building, you want to find an indicator that will be a good proxy for the value of your box. This indicator can be specific to your industry: Monthly Recurring Revenue (Saas), HR head...
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