Short description:

This second edition offers a primer on the valuation of startups and scaleups. Innovative startups are characterized by high growth potential that usually absorbs liquidity. These features are unattractive for traditional banks, which are replaced by other specialized intermediaries such as venture capital or private equity funds, which diversify their portfolios and base their strategies on a multi-year exit. Startups coexist in an evolving ecosystem with established firms, to which they transfer innovativeness, technology, flexibility, and time-to-market speed, contributing to reinventing the business models and receiving feedback from mature firms on the current market features, the existing clients, and their unsatisfied needs. The valuation paradigms represent a central issue for any startup seeking external finance, either from family and friends or through a wider professional network. This updated book, complemented by practical cases (for instance, FinTechs, digital platforms, and e-Health applications), offers a guide to practitioners, students, and academics about the trendy valuation patterns of startups based on their strategic business planning.

Roberto Moro-Visconti is a professor of Corporate Finance at the Catholic University of the Sacred Heart in Milan, Italy. He also leads Studio Moro-Visconti, a financial consultancy specializing in intellectual property appraisal grounded in a long-standing tradition of professional consulting.

Long description:

This second edition offers a primer on the valuation of startups and scaleups. Innovative startups are characterized by high growth potential that usually absorbs liquidity. These features are unattractive for traditional banks, which are replaced by other specialized intermediaries such as venture capital or private equity funds, which diversify their portfolios and base their strategies on a multi-year exit. Startups coexist in an evolving ecosystem with established firms, to which they transfer innovativeness, technology, flexibility, and time-to-market speed, contributing to reinventing the business models and receiving feedback from mature firms on the current market features, the existing clients, and their unsatisfied needs. The valuation paradigms represent a central issue for any startup seeking external finance, either from family and friends or through a wider professional network. This updated book, complemented by practical cases (for instance, FinTechs, digital platforms, and e-Health applications), offers a guide to practitioners, students, and academics about the trendy valuation patterns of startups based on their strategic business planning.

Table of Contents:

1. Introduction.- Part I ? Valuation.- 2. From business models to business planning.- 3. Intangible Value creation and scalability patterns.- 4. Boosting sustainable growth with innovative intangibles.- 5. From Incremental Know-How to Patent-Driven Startups.- 6. Digital Networking and Artificial Intelligence-Driven Startups.- 7. Cherry Picking Intermediaries: from Venture Capital to Private Equity Funds.- 8. Early-stage and debt-free startups.- 9. Leveraging Startup?s Development with Debt.- 10. A comprehensive Valuation Metrics.- 11. Startup Valuation.- Part II ? Industry Applications.- 12. FinTech Valuation.- 13. The Valuation of DeepTech Startup.- 14. Metaverse Startup.- 15. MedTech, BioTech, and E-Health Startup Valuation.- 16. FoodTech and AgriTech Startup Valuation.- 17. The Valuation of ClimateTech Startups and Scaleups.- 18.  FashionTech Startup Valuation.