The amount of funding a startup gets its value depends on the percentage of participation, he wants to sell. For example, if a startup $ 100000000, is valued at $ 20 million, it will sell a 20% stake.
Thus Funding = Value of Start-up * Percentage of stake sold.
What makes a startup?
The ability of a start to generate cash flow in the future is valuable. Cash flow is the profit after tax. future cash flows are discounted to their present value to reach.
Thus Value= Sum of Discounted Cash Flows.
So when you start the assessment, the assessment of their future, not the present or the past. A start-up is the ability to generate cash flows in the future, it would be worth.
Thus Funding = Value of Start-up * Percentage of stake sold.
What makes a startup?
The ability of a start to generate cash flow in the future is valuable. Cash flow is the profit after tax. future cash flows are discounted to their present value to reach.
Thus Value= Sum of Discounted Cash Flows.
So when you start the assessment, the assessment of their future, not the present or the past. A start-up is the ability to generate cash flows in the future, it would be worth.
Startups have told you about the specific answer about: -
OLA / Uber: - seed money, questions as investors faced contained: -
It has mass appeal? What happens if everyone starts using the product? In addition, when a start-up that facilitate things for you, he tries to make a habit.
(I explain in suburban Mumbai rickshaw feel when there is no OLA / Uber we descend, many cab / rickshaw to ask a lot of them used to be discarded by a date with your crush is more difficult than convincing). But come Ola, we can now sitting in a taxi home or office, then down when they arrive. Thus, it is convenient for us to do, the more advantage they have no money and they have air conditioning added. So we take the habit of them, which is what they really want.
Investor for the first time what appears to have invested in the Uber?
What if everyone starts using this product? What if it spreads to cities around the world?
Fast forward to today and it operates in 68 countries! And perhaps 500 cities!
Now I hope you do not understand why the Uber and Ola funding. However, this is the first to answer the question of funding.
Why is there a follow-up funding?
The answer is simple. Monitoring new horizons when you finance / cities want to develop or acquire customers and you still want their short-term cash to fund the deficit.
Travis Kalanick (Uber CEO) Imagine having. You see a lot of potential in India. So, what are you doing? A follow-up round of funding agreements to enter India (Rs 600 recall / -. The price of a trip for the first time you sign up and when you recommend it to a friend)
Zomato:-
Zomato revenue and EBITDA for the last 4 years (earnings before interest, taxes, depreciation and amortization).
last year revenue increased 216% and 229% damage. But if you see the big picture Zomato has its presence in 22 countries, including India! In addition, as in India, although there Tinyowl, Foodpanda therefore more potential for success for others in the restaurant is a monopoly. Additionally, advertising, ads, online ordering, gaining Consultancy (food and guidance through data analysis for the new branch opening)
I repeat the point that, rather than issuing a determining factor in the deficit do not see the value would emphasize on.
Flipkart:-
This is far more complex began to analyze, but the fundamentals remain the same. Flipkart in India trying to get into the habit of buying online. Investors also finance. Retail sales online in India today accounts for only 1% of all retail sales. If 7-8% (which is present in the United States) were to increase in India, e-tailers, this would mean an increase of 800% in revenues. This is what investors expect.
Make my trip:
I recently someone in their own tourism and business travel to Jaipur parlé.mais finally book tickets through a travel agent or tour operator. This state of mind is changing and more and more people use their credit cards online.
In fact, my journey has reduced its losses over the past five years.