As part of our continuous improvement of both our calculations and our internal parameters, on October 23rd, 2019 you’ll be upgraded to the latest version of Equidam with updated valuation parameters. This may result, on average, in a slight valuation decrease.
What’s changing
1 | VC method pre-money valuation
We are going to release a change to the VC method to further improve its compliance with valuation standards, theory and research.
The change is the addition of the post money step in the calculation. The valuation returned by discounting the terminal value will result in the post money valuation of the company, to which the investment amount will be subtracted to calculate the premoney, used in the average and range calculations of Equidam.
2 | Corporate Income Tax (CIT) for UK and The Netherlands
Both UK and The Netherlands planned reductions of tax rates for 2020, and the Netherlands also for 2021. This will reflect in lower projected taxes for companies based in those countries and thus a likely increase in their valuation.
Please don’t hesitate to let us know in case you have any questions. Thanks for using Equidam!
The Equidam Team
Hello Team,
So, just trying to understand.
Was the algorithm giving me post money valuation and you mentioned on the dashboard that it is pre-money valuation and now it is post money valuation?
Hi Abhishek,
Thanks for your message. For the VC method (only), before on the dashboard appeared the post-money valuation, now there is the pre-money valuation.
Does this clarify your question?
Thanks, and we remain available,
Best regards,
Giulia