Solving the Valuation Riddle

Daniela Yoder of Venture First speaks about basic methods for valuing startup companies and other components that may be overlooked by founders.

What Is Valuation?

Valuation is the analytical process of determining the current (or projected) worth of an asset or a company. There are many techniques used for doing a valuation. An analyst placing a value on a company looks at the business’s management, the composition of its capital structure, the prospect of future earnings, and the market value of its assets, among other metrics.