Determining “pre-money” startup valuations

[mandy]

There are new data out on “pre-money” startup valuations, and it indicates that now is the time to raise money if your young company needs it. Why? Because “pre-money” valuations of startups — the base line value used by VCs to determine the smallest amount of money they need to put into a new company to get the equity stake they want in it — are higher than they’ve been since the first quarter of 2001, a.k.a the last gasp of the dotcom bubble. The median valuation of companies seeking an initial round of professional money is now $8.7 million, according to a joint report issued by Dow Jones and Ernst & Young...

full article: http://foundread.com/2007/09/28/startup-...ocking-it/