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Company evaluation for Start Up - Qualitative evaluation

From: Studio Gambera & Partners
In: Company consultant
Il: 24-02-2020 10:52

Due to the typical characteristics of start-ups, traditional methods of evaluation find strong limitations. Start up are in fact characterized by:
- Negative economic results. In the first moments of activity, not being known to potential customers, the company has not yet achieved the market target necessary to reach the Break Even Point;
- Lack of historical series/actual past data on which to base forecast estimates.
The needs to evaluate a start-up range from the need to understand whether or not it is worth pursuing the project, to the need to make it 'attractive' to investors/financiers. Capital providers will be encouraged to participate and contribute to the project if they know its value and the reasons for it.

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