The Art of Valuation and the Science of Dilution – StartupOS

This article discusses the importance of valuation and dilution for founders seeking investment for their startup. It emphasizes the need to maximize valuation while minimizing dilution and provides strategies to achieve this goal. The article highlights factors that can influence valuation decisions, such as comparable company analysis, capital needs, market opportunity, and creating buzz. It also discusses the impact of dilution and offers tips to mitigate its risks. The COVID-19 pandemic has changed the fundraising landscape, with investors being more willing to value companies higher and provide longer runways. However, market conditions and sector-specific factors still play a significant role. Overall, founders need to understand the dynamics of valuation, dilution, and investor mindset to navigate the fundraising process successfully.

The Art of Valuation and the Science of Dilution BY LEWIS HOWER