Calculate pre-money and post-money valuations based on equity offers.
Calculate startup pre-money and post-money valuations based on investment funding raised and percentage equity offered.
Calculates total implied startup valuation after investment round, deducting funding raised to derive pre-money valuation.
Pre-money valuation is company value before receiving new funding. Post-money valuation is company value immediately after investment capital is added.
Issuing new equity shares to investors dilutes founder ownership percentage while increasing total dollar valuation of remaining shares.
Early-stage startups use Berkus, Scorecard, Comparable Transactions, or Discounted Cash Flow (DCF) methods to negotiate equity pricing.
Post-money valuation is the total calculated market value of a company right after receiving new investment capital.
Divide funding amount by equity percentage offered to get post-money valuation, then subtract funding amount to find pre-money value.
Founder equity dilution represents the percentage of company ownership given to investors in exchange for investment capital.