Startup Valuation in Web3 Marketing Sector
Valtech Valuation recently completed a business valuation for a start-up company offering metaverse marketing services. The target company with the principal business related to video monetization platform with Web2 to Web3 transformational ecosystem. We take pride in being a trusted valuation firm, offering valuable insights to clients in this industry.
The valuation of the target company was mainly conducted under market approach: the Guideline Publicly-Traded Comparable (GPTC) Method and cross-checked by comparable private transactions, comparing the startup to similar transactions at similar stages. There were sufficient numbers of comparable public companies and transactions available in markets which facilitate a meaningful comparison and provide inputs for determining the valuation multiple. We carefully reviewed the documents provided by the target company and determined that the market approach was the appropriate approach for this valuation.
We conducted an in-depth analysis including, but not limited to, the selection of comparable companies and the sources of the parameters adopted, ensuring that the valuation was conducted fairly and appropriately. The target company with fundraising records and financial information, hence we derived an implied multiple (P/Sales) as the starting point of our valuation. Further adjustments (such as multiple movement of the GPTC) have been made to reflect the ever-changing market movement between the fundraising date to the valuation date.
Apart from the valuation conducted through P/Sales multiple, we have cross-checked our result by adopting comparable private transactions. We analyzed hundreds of private deals in the Web3 marketing and metaverse sectors, benchmarking the target company’s funding round against observable transactions, leading to an implied valuation. Cross-check result suggested that the valuation result derived from P/Sales multiple was fair and within a reasonable range.
About Valtech Valuation
Valtech Valuation is a professional valuation firm accredited with ISO-9001 in valuation advisory services. The firm is renowned for its expertise in advanced valuation techniques, customized valuation models, data-driven insights, and adherence to compliance and reporting standards. The firm has a solid track record in valuation advisory for listed companies, private equity, fund managers, and financial institutions. Valtech’s qualified team comprises members with PhDs, CPA (HKICPA), CFA, Chartered Valuation Surveyors of the Royal Institution of Chartered Surveyors, and valuers accredited with Business Valuation (ABV) by AICPA and CVA qualifications in Singapore. Valtech continues to expand into more markets by leveraging its valuation platform and recruiting local experts.