You run deep diligence on market size, competitive dynamics, founder quality, and traction. But when it comes to returns, the thing that ultimately matters most - many investment decisions still rely on a few static exit assumptions and a spreadsheet model that’s brittle, linear, and often misleading. The reality is: Your outcome isn’t driven by valuation alone. It’s driven by the interaction of: • Structure (preferences, participation, conversion) • Dilution (future rounds y

Most firms treat fair value as an output. A number to report. But the more interesting question is: What can fair value teach us about our portfolio? When used well, it becomes a lens into the economics of your investments, not just an accounting exercise. It can help answer questions like: • Which investments are most sensitive to assumptions? • Which companies have the widest range of outcomes? • Where is value concentrated today? • Where is uncertainty concentrated? At the

Fair value in venture capital evolves throughout the lifecycle of an investment, and so should the valuation methodology. In practice, there are three distinct stages: 🔹 At Investment Valuation is typically anchored to the transaction price, often supported by an OPM back-solver to allocate value across share classes. 🔹 Towards Exit (no expectation of future financing rounds) Dependent on expected time to exit, methodologies range from CVM, OPM, PWERM and Hybrid. 🔹 The “In

In startup land, few terms trigger founders more than “multiple liquidation preference.” The moment a VC asks for anything above 1x, the reflexive reaction is often: “They’re being greedy.” But like most things in venture, the reality is more nuanced — and, frankly, more interesting. I want to offer a different lens. Not to defend every term sheet ever written, but to broaden the conversation. Because sometimes a >1x preference isn’t greed at all. It’s information. 🧩 1. A H

One of the things I love about life, especially life with five kids, is how ordinary moments can teach us extraordinary lessons. Sometimes the simplest experiences help us understand concepts that, on paper, look complex or abstract. Valuation. Enterprise value. Optionality. Probability. All of it can feel technical… until you see it play out in real life. And nothing captures it better than a family road trip. Stage 1 — Packing the car Excitement. Optimism. Snacks. In start

Not quite. Ownership shows who holds what, but not necessary who gets what - at exit. 🧩 The Missing Piece: Waterfall Calculations Exit outcomes hinge on share class rights and preferences. Without modelling those, your cap table is just surface-level. 🔍 Why It Matters Waterfalls are the hidden engine behind: •⁠ ⁠Cap table modelling •⁠ ⁠Professional fair value assessments •⁠ ⁠Accurate Exit distributions 👉 Our carousel breaks it down: how the waterfall rather than just the c