VC Method Valuation Calculator

What valuation can a VC justify today?

VCs often price deals backwards: what could this company sell for, and what must it be worth today for the investor to hit their target return?

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How this calculator works

Exit value = revenue × multiple. Post-money today = exit value ÷ target return × (1 − future dilution). Pre-money = post-money − investment. Ownership needed = investment ÷ post-money.

Frequently asked questions

Why do VCs target 10× or more?

Most startups fail or return little, so the winners must pay for the losers. A high target multiple on each deal reflects that risk.

Is this how all startups are valued?

It is one common method alongside comparables, recent rounds and simple negotiation. Early-stage valuations are mostly set by supply and demand for the deal.

Results are estimates based on the numbers you enter and simplified assumptions. They are not financial advice. See our disclaimer.

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