Assume a venture capitalist requires a 40% rate of return per year. If the venture capitalist thinks
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Assume a venture capitalist requires a 40% rate of return per year. If the venture capitalist thinks that a company will be worth $50 million in five years, what percentage of ownership in the company will the venture capitalist require today in exchange for a $3 million investment?
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Financial Institutions, Markets and Money
ISBN: 978-1119330363
12th edition
Authors: David S. Kidwell, David W. Blackwell, David A. Whidbee, Richard W. Sias
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