Question: Question 4 (3 points) You are a VC and you plan to invest $10 million in a startup company, Desperate For Cash Dot Com. Projections
Question 4 (3 points) You are a VC and you plan to invest $10 million in a startup company, Desperate For Cash Dot Com. Projections show that EBITDA for last year was $1 million and in year 3 will be $5 million. Companies comparable in size and growth rate to Desparate for Cash Dot Com's Year 3 projections are selling for EBITDA Multiples of 12x. In order for you to earn your ve minimum of SO , per year, The value ofthe company in three years is projected to be $ , t the required percent ownership is--%, and the pre-money Form at S123.4 million as 123.4. Format 12.34% as 12.34. Seve
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