BUSINESS BLOGS
BUSINESS BLOGS
category: business
20 Aug 2008
related tags: Financing | Stat of the Day |

From Forbes:

Valuing tech startups is an art. But as a rule of thumb, late-stage VCs limit valuations to two to three times projected 12-month revenues, discounted 20% to 30%, says Joshua Tanzer, managing director of investment bank Revolution Partners. Firms also typically aren’t viewed as late stage until they’re doing about $10 million in annual revenue and appear to be within a year of profitability.

File under “Good to know”.