Why does even a 1000cr market isn't enough for a VC
So most businesses generate maximum Profit Margin of 20%.
That on a ₹1000cr ($150 M) is ₹200cr which is enough for an founder to retire.
But if you think from a VC's point of view, the max valuat
I'm not talking about valuation. I'm just telling why a VC doesn't funds company with a small market size.
0 replies
More like this
Recommendations from Medial
Sajin
•
Foundation • 9m
Ever wondered why investors fight on valuation of a company? Lets look at the formula below:
% given to investor = (Total amount you want to raise/Total valudation of the company) *100
So lower the valuation, higher % you have to give to the invest
What happens when a company fails to generate revenue after raising funds from a VC.
Are the company owners obliged to any amount in return for investors
And how will investor get an exit if the company is a loss making company
I met a VC today and he told me his cheque size doesn’t match our round size and then I opened his website to show him his cheque size. His face crumbled with embarassment 😂😂 Funny people.
2 replies15 likes
SamCtrlPlusAltMan
•
OpenAI • 3m
Here is a list of notable tech founders, their ownership stakes in their respective companies, and the current estimated worth of those companies:
Notable Founders and Their Company Valuations
Elon Musk
- Ownership: 42% of SpaceX
- Company Valu
Why does even a 1000cr market isn't enough for a VC
So most businesses generate maximum Profit Margin of 20%.
That on a ₹1000cr ($150 M) is ₹200cr which is enough for an founder to retire.
But if you think from a VC's point of view, the max valuat
Why are big names in VC quitting and starting on their own? I think it can be a good sign as more funds and more funding will be available. But you never know.
Does anyone wants to join with me and build a company which provides online business tools to help growing mid size and small businesses.
Whoever is interested can dm me on medial.
Only 1 Secret that you must know to raise funds from VC'S but sadly no-one is talking about..
It's very often that we show these 👇 to the Investors when raising funds:
Problem
Solution
Product
Market Gap
Team
Customers
Revenue
Achievements Et