Innovation America Innovation America Accelerating the growth of the GLOBAL entrepreneurial innovation economy
Founded by Rich Bendis

Nothing seems to grab headlines more than a company that raises, say, $50 million and is valued at $2 billion. No revenue? Doesn't NewImage atter. Then there's the promising young company that actually has $20 million in sales but ekes out a valuation of $200 million. (Sounds like an episode of VCs Gone Wild, doesn't it?)

But when you look deeper, it's all about metrics. And that's why business owners have to know how venture capitalists think. Nothing is more important than coming up with an appropriate valuation for your company.

Image: http://www.inc.com