Start-ups & Its Valuation

1. Start-ups & Its Valuation

2. Startup Awards • Midas Touch • Mukul Arora of Saif Partners, Key Investments – Swiggy, Meesho, Unacademy • Anand Daniel of Accel Partners, Key Investments – Swiggy, Blackbuck, Bounce, TaxiforSure • Renuka Ramnath of Multiples Alternate Asset Mgmt, Key Investments – Delhivery, Dream 11, Indian Energy Exchange • Startup of the Year • Lenskart by Peyush Bansal & Amit Chaudhary • Zerodha by Nithin Kamath & Nikhil Kamath • Curefit by Mukesh Bansal & Ankit Nagori ET Startup Awards BejulSomaia of LightSpeed – Midas Touch Delhivery – 500000 Parcels a day – Valued at US $ 1.5 Bio Atomberg Technologies – Best on Campus – Energy Efficient Fans

3. Latest on Startup • Fintech startup Zeta, which is promoted by techpreneur Bhavin Turakhia and offers digital employee solutions, said on Tuesday it has raised funding from Sodexo Benefits and Rewards (BRS) at a valuation of $300 million (Rs 2,070 crore). • Haptik Inc., an artificial intelligence-based conversational platform controlled by Reliance Industries Ltd, has acqui-hired Los Angeles-based conversational AI startupConvrg Technologies Inc. to expand its business in North America. • Singapore-based retinal diagnostic startup Leben Care Technologies Pte. Ltd has raised angel funding from Inflection Point (IP) Ventures.

4. Table of Content • What is a start up? • What is valuation? • When is valuation required for start ups? • Funding Stages • Evaluation of a Start up • Factors affecting a start-up value • Limitations of traditional valuation methods • Most Useful Methods for valuation of start ups • Other Methods for valuation of start ups • Valuation Gap • Closing the Valuation Gap • Case Studies on Valuation of Start Ups • Start Up Ecosystem

5. What is a start up?

6. Definition of Start Up (DIPP)

7. What is Valuation?

8. When is Valuation is required for start ups? Valuation

9. Funding Stages Stage: Growth Source: Public stock exchange Stage: Growth Source: Bonds or loans Stage: Establishment/ Growth Source: Short Term/ Temporary Sources Stage: Expansion/ Establishment Source: Venture Debt/ Credit from Banks Stage: Commercialisation/ Expansion Source: Private Equity Firms Stage: Prototype/ Commercialisation Source: Venture Capitalists Stage: Idea/ Prototype Source: Friends, Family, Angel Investors Seed Funding Round A Funding Round B Funding Debt Funding Mezzanine Financing and Bridge Loans Leveraged Buyout (LBO) Initial Public Offering (IPO)

10. Target Population Industry Problem Scalability Iteration Evaluation of Start up

11. Evaluation of a Start up

12. Factors affecting a start-up value

13. Limitations of traditional valuation methods

14. Most Useful Methods for valuation of start ups

15. Most Useful Methods for valuation of start ups ..(cont’d)

16. Most Useful Methods for valuation of start ups ..(cont’d)

17. Other methods for valuation of start ups

18. Other methods for valuation of start ups ..(Cont’d)

19. Other methods for valuation of start ups ..(Cont’d)

20. Other methods for valuation of start ups ..(Cont’d)

21. Valuation Gap Different valuation methods applied

22. Closing the Valuation Gap

23. Case Studies on Valuation Z O M A T O

24. Zomato – Expected Revenue • Revenue – Compounded Annual Growth rate of over 50% • Profit growth of over 200% • Major investment in tech is done. • Tech gives them advantage to grow exponentially • Geographically • No. of Customers • No of Users

25. Case Studies on Valuation ..(cont’d)

26. Case Studies on Valuation ..(cont’d)

27. Start Up Ecosystem

28. Wealth Creation

29. Thank You CA Vineet Rathi Partner O P Rathi & Co Vineet.rathi@oprathi.in +91 98240 45166