Hey founder๐ Do you know about Berkus Approach? The Berkus Approach is a startup valuation method based on qualitative factors, assigning monetary value to key success components. Itโs ideal for early-stage startups without extensive financial history. Hereโs an example: 1. Idea (Sound Concept)Problem-solving idea? Assign โน30L (of โน50L). 2. Prototype (Product/Tech): Working prototype? Worth โน40L (of โน50L). 3. Management Team:Experienced but growing? โน25L (of โน50L). 4.Strategic Relationships: Some partnerships? โน20L (of โน50L). 5. Traction (Sales): Early revenue or adopters? โน35L (of โน50L). Total Valuation: โน1.5 crore. This method evaluates the foundation for future growth rather than focusing on current finances.
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