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Description

Startup Valuation: Reading Traction, Setting Value and Negotiating Dilution

Value a company with no earnings track record and no obvious peer group in its sector

  • 2 days — 14 h
  • In-person or virtual
  • Expert
  • Up to 6 participants

Valuing a young company defeats the usual methods. Earnings are negative, the history is too short to extrapolate from, listed comparables bear little resemblance to the business, and the forecast presented rests on growth assumptions that are rarely documented. The discussion then shifts towards the balance of power between founders and investors.

These two days address that specific case. Unlike the valuation of an established business, participants start from traction indicators and the revenue model, build a scenario-based forecast, then apply the methods used by venture capital investors before working on the capitalisation table and dilution.

Learning objectives

  • Analyse the traction indicators and revenue model of an early-stage company
  • Build a scenario-based forecast supported by traceable assumptions
  • Apply the valuation methods used by venture capital investors
  • Distinguish pre-money from post-money value in a capitalisation table
  • Measure the effect of dilutive instruments on shareholding structure
  • Prepare the valuation discussion ahead of a funding round

What makes this programme different

The valuation is carried out on a loss-making early-stage company file
A capitalisation table is maintained round after round with dilutive instruments
The valuation negotiation is role-played from the founder side then the investor side

Programme

1Reading an early-stage company before valuing it

Looking for value where it actually sits

  • Revenue model and quality of recurring revenue
  • Traction indicators, retention and customer acquisition cost
  • Cash burn and financing runway
  • Team, technology and intangible assets

2Forecasting and scenarios

Making assumptions open to challenge

  • Building the forecast from the underlying business drivers
  • Traceability and stress-testing of growth assumptions
  • Conservative, base and upside scenarios
  • Determining successive financing requirements

3Venture capital valuation methods

Applying the approaches used by investors

  • The investor target-return method
  • Multiples drawn from recent transactions and the limits of the exercise
  • Valuation by maturity milestones achieved
  • Discounted cash flow applied to a loss-making company

4Capitalisation table and negotiation

Translating value into shareholding structure

  • Pre-money and post-money value and the dilution calculation
  • Effect of warrants and convertible notes
  • Employee incentive plans and the option pool
  • Preference terms and their impact on real value

Who is it for

Fund investors and analysts, together with founders, finance directors of early-stage companies and fundraising advisers.

Prerequisites

Familiarity with equity financing mechanisms and with reading a financial forecast.

Dates & locations

36 scheduled dates between November 2026 and December 2027. Seats are confirmed in the order enquiries are received.

November 2026

December 2026

January 2027

February 2027

March 2027

April 2027

May 2027

June 2027

September 2027

October 2027

November 2027

December 2027

None of these dates suit you? We open additional sessions on request, and any programme can be run privately for your team.

Practical details

Before the programme
Online positioning questionnaire. Your development objectives are shared with the trainer, who tailors the practical case studies to your context.
Teaching methods
Theoretical input, workshops and practical case studies. Digital course materials and method sheets provided.
Assessment
Multiple-choice tests and role-play exercises. Assessment of learning at the start and end of the programme, with immediate and 60-day follow-up evaluations.
After the programme
One year of access to the e-learning platform. Self-assessment of the skills acquired and a 30-day follow-up session with your trainer.
How to register
Registration online or on the basis of a quotation.
Lead time
11 working days after confirmation of registration.
Accessibility
Accessible to people of determination. Contact our accessibility coordinator to design a suitable solution: contact@mpf-academy.ae
Start dates
Rolling intake: in addition to the scheduled sessions, this programme can start on request.