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Mahesh Reddy

Semi qualified CMA (...ย โ€ขย 7m

Hey founder๐Ÿ‘‹ 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. Itโ€™s ideal for early-stage startups without extensive financial history. Hereโ€™s an example: 1. Idea (Sound Concept)Problem-solving idea? Assign โ‚น30L (of โ‚น50L). 2. Prototype (Product/Tech): Working prototype? Worth โ‚น40L (of โ‚น50L). 3. Management Team:Experienced but growing? โ‚น25L (of โ‚น50L). 4.Strategic Relationships: Some partnerships? โ‚น20L (of โ‚น50L). 5. Traction (Sales): Early revenue or adopters? โ‚น35L (of โ‚น50L). Total Valuation: โ‚น1.5 crore. This method evaluates the foundation for future growth rather than focusing on current finances.

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