The Startup Valuation and Financial Analysis Specialization teaches two of the most often used methods to find the value of a startup. You’ll learn how to find the value of founder’s ownership before and after additional funding, how to read financial statements and make pro-forma statements, and how to determine the financial health and status of a startup and estimate future earnings and value. You’ll then use various investment criteria, such as Net Present Value (NPV) and Individual Rate of Return (IRR), to make a decision about whether and where to invest your money. Specific topics include: the time value of money, discounted cash flows method, multiple method, financial statements analysis, free cash flows, capital budgeting decision rules and current trends. The Capstone Project will find the value of startups using the methods taught in the course.
What you'll learn
Assess the value of a startup before and after funding
Read and interpret financial statements
Create pro-forma financial statements
Evaluate financial health and future earnings of a startup
Apply investment criteria such as NPV and IRR
Course objectives
Understand the time value of money
Learn the discounted cash flows method
Analyze financial statements and free cash flows
Master capital budgeting decision rules and current trends