Valuing a start-up internet business is fraught with difficulty. This article sets out an income-based method for valuing an internet business. It seeks to obtain a Net Present Value (NPV) for a future income stream. There are a few key metrics that need to be evaluated in order to complete this calculation. This valuation model is suitable to be used by start up internet companies who aim to extract value from a number of retained clients over time.
Benchmarks for Evaluating Your Internet Business
The following key defines terms used in this model:
- Profitable Online Business
- With Profits
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