VC VALUATION

Frame your valuation assumption.

Estimate an illustrative company value from your revenue or ARR and a multiple you choose.

DECISION OUTPUT

What this means

IMPLIED VALUATION€4,000,000This is €500,000 revenue or ARR multiplied by your 8.0x assumption. It is a discussion starting point, not an objective market price.
Low valuation€3,000,0006.0x applied
Base valuation€4,000,0008.0x applied
High valuation€5,000,00010.0x applied
KEY ASSUMPTIONSSeed guidance: 5.0x to 12.0x. Selected multiple: 8.0x. Premium / discount: 0%. Applied multiple: 8.0x.A valuation multiple means how many euros of company value you are assuming for each euro of revenue or ARR. A higher multiple creates a higher valuation, so make sure you can explain why this assumption fits your company.
RECOMMENDATIONUse €3,000,000 to €5,000,000 as a sensitivity range, then decide whether the 8.0x applied multiple is defensible for your fundraising conversation.

REPORTING

Take this decision model into your next internal review.