How would I value this?
Private company with negative EBITDA. Other than DCF what could I use as a multiple to compare with similar transactions? Anyone have suggestions?
Private company with negative EBITDA. Other than DCF what could I use as a multiple to compare with similar transactions? Anyone have suggestions?
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It would help if you could provide more details about the business. How you would approach valuing it could potentially depend highly upon the industry, business model, competitors, etc.
see below comment
Company has financing issues issues in a struggling sector. Labeled as distressed. Don’t want to dig into too much detail, but what valuation methods are typically used for negative EBITDA for a private company? Tough to find equity value therefore tough to derive a Enterprise Value. I could compare to other transactions, but again no EV.
Liquidation value or replacement cost
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