{"id":4277,"date":"2022-09-26T07:43:01","date_gmt":"2022-09-26T07:43:01","guid":{"rendered":"https:\/\/indiabizforsale.com\/blog\/?p=4277"},"modified":"2023-12-01T07:19:48","modified_gmt":"2023-12-01T07:19:48","slug":"the-art-of-business-valuation-for-smes-and-startup-during-fundraising-event-in-ahmedabad","status":"publish","type":"post","link":"https:\/\/www.indiabizforsale.com\/blog\/the-art-of-business-valuation-for-smes-and-startup-during-fundraising-event-in-ahmedabad\/","title":{"rendered":"The Art of Business Valuation during Fundraising and M&#038;A in Ahmedabad"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"768\" src=\"https:\/\/indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy-1024x768.jpg\" alt=\"\" class=\"wp-image-4279\" srcset=\"https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy-1024x768.jpg 1024w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy-300x225.jpg 300w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy-768x576.jpg 768w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy-1536x1152.jpg 1536w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy-830x623.jpg 830w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0023-Copy.jpg 1600w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Our 3rd event of the series on \u201c<strong>The Art of Business Valuation for SMEs &amp; Startups During Fundraising and M&amp;A in Ahmedabad <\/strong>at Sunil Mehta Hall, CIIE, IIM Ahmedabad on <strong>17th September 2022<\/strong> was very well received. Similar to the first two events, this was organized in collaboration by <a aria-label=\"undefined (opens in a new tab)\" href=\"https:\/\/echai.network\/\" target=\"_blank\" rel=\"noreferrer noopener nofollow\"><strong>eChai<\/strong><\/a> (startup community network) and <a aria-label=\"undefined (opens in a new tab)\" href=\"https:\/\/ibgrid.com\/business-valuation-services\" target=\"_blank\" rel=\"noreferrer noopener\"><strong>IBGrid<\/strong><\/a> (Valuation expert for M&amp;A and fund-raising).<\/p>\n\n\n\n<p>With experienced high-profile speakers,<\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.linkedin.com\/in\/mayank-patel-cfa-37368011\/\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener nofollow\">Mr. Mayank Patel<\/a> (CFA, Valuation Lead IBGrid)<\/strong><\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.linkedin.com\/in\/khyati-jha\/\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener nofollow\">Ms. Khyati Jha<\/a> (Founder, Spectrum Partner)<\/strong><\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.linkedin.com\/in\/sumitkarranji\/\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener nofollow\">Sumit Karranji<\/a> (Founder of Curlin)&nbsp;<\/strong><\/p>\n\n\n\n<p><strong><a href=\"https:\/\/www.linkedin.com\/in\/nirajharlalka\/\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener nofollow\">Niraj Harlalka<\/a> (Co-Founder Edurberance)<\/strong>&nbsp;<\/p>\n\n\n\n<p>and with a receptive audience, it was a highly interactive and insightful event.<em><br><\/em><br>In the event,<\/p>\n\n\n\n<p><strong>Mr. Mayank Patel <\/strong>shared, Why is story so important for raising funds with transactional data? Why do investors not invest in partnership firms? How can you raise money for your startup?<\/p>\n\n\n\n<p><strong>Mr. Sumit Karranji<\/strong> discussed his startup&#8217;s fundraising journey and how you can <a href=\"https:\/\/www.indiabizforsale.com\/business\/investment-in-india\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener\"><strong>pitch investors for funding<\/strong><\/a>. He also discussed the importance of providing strong proof of all transaction data.<\/p>\n\n\n\n<p><strong>Ms. Khyati Jha<\/strong> explains why every startup founder should track their business numbers (like expenses, what holds value, etc) when seeking investment and how it can help them in business negotiations.<\/p>\n\n\n\n<p><strong>Mr. Niraj Harlalka<\/strong> shared how to pitch investors for your investment needs and why <a href=\"https:\/\/www.indiabizforsale.com\/business\/business-consulting\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener\"><strong>expert consultation<\/strong><\/a> is important before planning for fundraising or M&amp;A.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"768\" src=\"https:\/\/indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy-1024x768.jpg\" alt=\"\" class=\"wp-image-4282\" srcset=\"https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy-1024x768.jpg 1024w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy-300x225.jpg 300w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy-768x576.jpg 768w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy-1536x1152.jpg 1536w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy-830x623.jpg 830w, https:\/\/www.indiabizforsale.com\/blog\/wp-content\/uploads\/2022\/09\/IMG-20220917-WA0022-Copy.jpg 1600w\" sizes=\"(max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_83 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.indiabizforsale.com\/blog\/the-art-of-business-valuation-for-smes-and-startup-during-fundraising-event-in-ahmedabad\/#Below_are_the_key_Q_A_you_need_to_know_before_going_for_fundraising\" >Below are the key Q&amp;A you need to know before going for fundraising:<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.indiabizforsale.com\/blog\/the-art-of-business-valuation-for-smes-and-startup-during-fundraising-event-in-ahmedabad\/#What_are_the_10_key_points_to_consider_when_going_for_business_valuation_for_fundraising_or_even_M_A_for_your_startup\" >What are the 10 key points to consider when going for business valuation for fundraising or even M&amp;A for your startup?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.indiabizforsale.com\/blog\/the-art-of-business-valuation-for-smes-and-startup-during-fundraising-event-in-ahmedabad\/#What_are_the_3_key_points_least_understood_by_Startups\" >What are the 3 key points least understood by Startups?<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.indiabizforsale.com\/blog\/the-art-of-business-valuation-for-smes-and-startup-during-fundraising-event-in-ahmedabad\/#Wrapping_Up\" >Wrapping Up<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Below_are_the_key_Q_A_you_need_to_know_before_going_for_fundraising\"><\/span>Below are the key Q&amp;A you need to know before going for fundraising:<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p><\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_10_key_points_to_consider_when_going_for_business_valuation_for_fundraising_or_even_M_A_for_your_startup\"><\/span><strong>What are the 10 key points to consider when going for business valuation for fundraising or even M&amp;A for your startup?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<ol><li>A well-thought forward-looking business plan is essential. This should include the quantum of funds required, usage of the funding and what impact it would generate in the business in a stipulated time frame.<\/li><li>Overall investors buy-in to the story \u2013 so focus on it, visualize it- practice it- ooze confidence when delivering the story.<\/li><li>The Business Valuation is not art or science but it depends on quantitative as well as qualitative data.<\/li><li>Professionally designed past records and documentation builds good confidence in investors\u2019 minds.&nbsp;<\/li><li>Along With your products\/services the rest of your team is also vital for any funding or even M&amp;A transactions. Include it while building your deck or information memorandum.<\/li><li>Get references from other founders, letters of intent from your potential clients, and testimonials from existing clients\/users.<\/li><li>Track\/Record all key unit economics suitable for your business.<\/li><li>Keep your personal expenses separate from the business expenses<\/li><li>Be really aware about what you are asking and why you need it (Know your Fundraising Plan)<\/li><li>Get a professional advice before you go to investors so not to miss out right investors\u2019 interest due to unreal valuation<\/li><\/ol>\n\n\n\n<h4 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_are_the_3_key_points_least_understood_by_Startups\"><\/span><strong>What are the 3 key points least understood by Startups?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<ol><li>Liquidation preferences- read more&nbsp;<a href=\"https:\/\/www.investopedia.com\/terms\/l\/liquidation-preference.asp\" target=\"_blank\" aria-label=\"undefined (opens in a new tab)\" rel=\"noreferrer noopener\">about here<\/a><\/li><li>Drag along, tag along, and similar clauses<\/li><li>Earn out &#8211; milestone based and its impact in overall valuation as well as payout in M&amp;A transactions.<\/li><\/ol>\n\n\n\n<p>There are many such clauses and terms which require professional inputs, however routinely startup founders avoid getting expert advice and agree on some terms which become not so good terms in a longer run. The importance or role of experts in deal-making is generally understood only when things do not go well in the future but by then it is too late for most founders. Keep a good % of your budget for professional advice especially if you are doing the transaction for the first time.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Wrapping_Up\"><\/span>Wrapping Up<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The event provided entrepreneurs and business professionals with information about business valuation and its process. The crux remains the same, <em>it is essential for every entrepreneur who is planning to either raise funds or exit their business should carry out a valuation of their business.<\/em><br><em><br><\/em>If you are planning to value your business, you can connect with experts for consultation as well as a <a href=\"https:\/\/ibgrid.com\/business-valuation-services\">business valuation services<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Our 3rd event of the series on \u201cThe Art of Business Valuation for SMEs &amp; Startups During Fundraising and M&amp;A in Ahmedabad at Sunil Mehta Hall, CIIE, IIM Ahmedabad on 17th September 2022 was very well received. Similar to the first two events, this was organized in collaboration by eChai (startup community network) and IBGrid&hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","footnotes":""},"categories":[226,59,154,77,262,241,69],"tags":[431,433,434,430,435,436,432],"featured_image_src":null,"author_info":{"info":["indiabizforsale"]},"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Art of Business Valuation during Fundraising and M&amp;A in Ahmedabad - IndiaBizForSale<\/title>\n<meta name=\"description\" content=\"Third edition of the art of business valuation for SMEs and Startups during Fundraising and M&amp;A Event successfully completed on 17th September 2022 at IIM Ahmedabad.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, 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