After completing due diligence, a VC firm is willing to invest $10 million in a startup, which is expected to generate $100 million revenue in seven years - when the VC is planning to exit this investment. Venture capital analyst collected industry data on similar companies, presented below. What percentage ownership of the startup the VC company is likely to demand, if it applies 40% IRR requirement to all of its investments?  

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Based on the information provided the VC firm is planning to invest 10 million in a startup that is ... View the full answer