Why Your Startup Should Care About Revenue Multiples by@sarathcp92
8,250 reads
8,250 reads

Why Your Startup Should Care About Revenue Multiples

by Sarath C P 8mOctober 21st, 2021
Read on Terminal Reader
Read this story w/o Javascript
tldt arrow
EN

Too Long; Didn't Read

Revenue multiples are valuation metrics based on company revenue. This works best for startups because revenue is the only stable value compared to all other factors. These multiples provide an opportunity to bypass complicated company valuation calculations based on earnings and cash flows. Early-stage companies are just starting their business process, and it is difficult to account for all components of EBITDA. This gives a holistic picture of the current financial health of a startup. It is a reliable alternative to mainstream, popular valuation metrics that rely heavily on a company’s past financial records.

Companies Mentioned

Mention Thumbnail
Mention Thumbnail

Coin Mentioned

Mention Thumbnail
featured image - Why Your Startup Should Care About Revenue Multiples
Sarath C P  HackerNoon profile picture
Sarath C P

Sarath C P

@sarathcp92

Digital Strategist and Consultant, Growth Hacking Specialist worked for both startups & big brands.

About @sarathcp92
LEARN MORE ABOUT @SARATHCP92'S
EXPERTISE AND PLACE ON THE INTERNET.

Share Your Thoughts

About Author

Sarath C P  HackerNoon profile picture
Sarath C P @sarathcp92
Digital Strategist and Consultant, Growth Hacking Specialist worked for both startups & big brands.

TOPICS

Languages

THIS ARTICLE WAS FEATURED IN...

Permanent on Arweave
Read on Terminal Reader
Read this story in a terminal
 Terminal
Read this story w/o Javascript
Read this story w/o Javascript
 Lite
L O A D I N G
. . . comments & more!