Consolidated Tool for All Valuation Methods

Description
Valuation Tool for Multiple Methods of Evaluation
Oak Business Consultants' financial analysts have conducted extensive research on various valuation methods, developed formulas and links, and consolidated the valuation methods into a single Excel document. The Consolidated Tool for All Valuation Methods assists investors and founders in determining the company's valuation not only through one valuation method but through multiple methods, enabling them to make informed decisions.
The Consolidated Tool includes the Discounted Cashflow, Scorecard, Risk Factor Summation, Checklist (Berkus) Method, and Venture Capital Method. Additionally, the tool contains a guide to help users understand the valuation methods and their applicability in various scenarios.
The tool includes the following sheets:
Guide
The Guide provides information about the valuation methods and how they are utilized in various scenarios. This sheet assists users in better understanding the valuation methods before moving on to the calculation section.
Assumptions
The Assumptions sheet includes the input required in the peach-filled column, which users must enter according to their data. The tool updates the valuation calculation based on the input data provided.
Discounted Cashflow
The Discounted Cash Flow sheet presents two methods for calculating the Net Present Value based on the discounted cash flows:
DCF Valuation by Long-Term Growth Method: This method is suitable for businesses and projects expected to continue indefinitely. The terminal value is calculated by multiplying the last year's projected free cash flow with the survival rate, long-term growth rate, and discount rate.
DCF Valuation by Multiples Method: This method is used to determine the terminal value for NPV calculation when operations are to be discontinued. The terminal value is calculated by multiplying last year's projected EBITDA with the industry's survival rate and the EBITDA multiple.
Scorecard Valuation
Investors typically use this method to look for comparable startups with similar characteristics and growth potential in the same industry. Companies utilize this to assess the potential of an investment opportunity before deciding to invest in the company. This method can help identify a startup's or early-stage company's strengths and weaknesses and evaluate its potential for success.
Risk Factor Summation
The Risk Factor Summation method is used when significant uncertainties and risks are associated with an investment opportunity, such as new technology. This method helps investors and decision-makers assess an investment opportunity's potential risks and rewards and make informed decisions.
Checklist (Berkus)
This method assigns a value to the startup's idea and the five principal factors determining its potential for success. Early-stage startups with no revenue but with a strong management team typically use this method.
Venture Capital
The Venture Capital Method is often utilized to value early-stage startups with no revenue but strong management teams and complex investment opportunities, such as those involving multiple rounds of funding, convertible debt, or other financing structures.
Interactive Dashboard
The Interactive Dashboard visually represents the results of the different valuation methods in a single sheet. The dashboard includes a slicer that allows users to select the checkboxes for the fields they wish to display. As a result, users do not have to move between sheets to see the data.
Benefits of the Consolidated Tool for All Valuation Methods
The tool includes a guide to help users understand valuation methods and their applicability in various scenarios.
By merely changing the input, the user will receive the output automatically.
The tool includes multiple valuation methods in a single Excel document, eliminating the need to purchase various templates for different valuation methods.