1.What are the difficulties and challenges that investors face in valuing early-stage companies?

1.What are the difficulties and challenges that investors face in valuing early-stage companies?

2.Describe the difference between pre-money and post-money valuation. In what settings are investors most likely to focus on pre-money valuation, and when on post-money valuation?

3.What were the pre-and post-money valuations for GENBAND’s August 2000 financing?

4.What are the potential shortfalls of using comparables to value a private company?

5.What are appropriate multiples to use when comparing two companies with different capital structures and varying levels of capital expenditures? Which are not?