Post-money valuation

The company’s valuation after the investment is made.

Pre-money valuation + investment = post-money valuation.

Pre-money valuation

Valuation of the company before the investment is made.

Post-money valuation - investment = pre-money valuation

Example

If you need £500k to reach a milestone and on average a VC wants to own 20% of

the company (anything more is too dilutive for founders, anything less isn’t worth

VC’s time), then:

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