Valuing Early Stage Companies–VC Method: Adjusting for Multiple Rounds–Equity Share (VIDEO)

Chaplinsky, Susan

F-1959 | Published July 15, 2020 | Duration 07:21 Video

Collection: Darden School of Business

Product Details

This video illustrates a six-step process for ensuring that venture capitalists maintain their equity ownership through subsequent round B and round C investments. Using the fictitious company UltraTech, Inc., venture capitalists calculate the required increase in their original equity ownership to prevent dilution through subsequent investments.

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