商品詳細

This book will be a practical guide that can be used by both entrepreneurs and investors/advisors alike in constructing and understanding valuations of startups in rapidly shifting industries, namely drug development, medical devices, cyber security, and renewable energy. From the viewpoint of large companies, valuation is based on forecasts of free cash flow; in technologically-driven industries product pipelines can represent a large fraction of market capitalization. The situation is even more critical for small companies committed to a single idea: all of their value is linked to a single project. Any business transaction in which innovative projects are being valued or exchanged requires a realistic valuation of those projects. So does any internal proposal to begin or terminate an R&D project. Moreover, different projects have very different dynamics. Pharmaceuticals have very large lead times and are dependent on patents as well as out-licensing deals. On the other hand, software develops very quickly, and IP is hard to value. This book will be a guide to building appropriate valuations for companies competing in rapidly shifting industries and offering products under new business models where little precedent exists.