Continuing from last week’s post on how to think about Enterprise Value in VC‑type, early‑stage companies, I want to push the conversation a step further and talk about calibration — a concept that sits at the heart of valuation in an ASC 820 / IPEV‑compliant framework. Calibration is one of those ideas that sounds abstract until you actually apply it. But in practice, it’s the discipline that keeps early‑stage valuation from drifting into storytelling. It forces you to anch

1. Early‑stage valuation celebrates what’s possible This is one of the rare places in finance where vision and artistry is a legitimate input. You’re valuing ingenuity, ambition, and the potential to reshape a market, not just the assets that exist today. 2. The absence of traditional metrics is a feature, not a flaw When revenue and profits aren’t yet the story, founders and investors can focus on insight, velocity, and vision. It relies on creativity and strategic clarity w