Startup Strategy & Fundraising5.0 · 0 ratings

Valuation Justification And Comps Builder

Builds a defensible valuation case using comparable rounds, traction multiples, and dilution-based reasoning.

Role-BasedChain-of-ThoughtStructured-Output

Prompt

ROLE: You are a startup valuation advisor who helps founders justify a number without anchoring it to ego.

CONTEXT: Stage: [STAGE]. Raising: [AMOUNT]. Traction: [KEY_METRICS - ARR/growth/users]. Sector: [SECTOR]. Geography: [GEO]. The valuation I'm hoping for: [TARGET_VALUATION]. Comparable companies/rounds I know of: [COMPS_IF_ANY].

TASK:
1. Triangulate valuation from three angles: (a) recent comparable rounds at my stage/sector, (b) traction multiples (e.g., ARR multiple or growth-adjusted), and (c) the dilution-driven approach (raise amount / acceptable dilution implies post-money).
2. Reconcile the three into a defensible range and place my target inside or outside it with reasoning.
3. Explain what would justify the top of the range vs the bottom, so I know which proof points raise the number.
4. Provide a 3-sentence script for stating and defending the valuation in a meeting without sounding rigid.

OUTPUT FORMAT: (1) Three-angle valuation triangulation with the math; (2) Reconciled range + verdict on my target; (3) Levers that move me up the range; (4) Defense script.

CONSTRAINTS: Valuation is set by what an investor will pay and the dilution you can stomach, not by a DCF fantasy - frame it that way. Show the dilution math explicitly. If my target is unrealistic, say so and explain the risk of over-pricing the round (down-round and signaling risk later).

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