How Do I Set My Valuation?
Valuation depends on multiple factors, and there is no universal formula for determining the right amount. It is important to conduct thorough research on your industry, competitors, and financial position to estimate a reasonable valuation for your business. Although Fundable is not legally able to advise you on what your valuation should be, the information below outlines key factors that can help guide your research.
Factors Influencing Valuation
- Business Stage – Early-stage startups generally have lower valuations compared to companies with proven revenue models.
- Market Research – Analyzing competitors and similar businesses in your industry can help you estimate your valuation.
- Industry Trends – Different industries have varying valuation standards based on historical data and market demand.
- Revenue & Growth Metrics – A company’s financial performance, including revenue, growth rate, and profitability, significantly impact valuation.
Recommended Resource
For a deeper understanding of startup stock valuation, visit this article:
🔗 Startup Stock Valuation
This article covers:
✔️ How startup stock valuation works
✔️ Common valuation methods
✔️ Factors affecting early-stage company valuation