Technical question for VCs

Hi Everyone,

I am interviewing at a VC firm an India and had a case question regarding DCFs for a startup. While I understand that the DCF method is tricky and possibly not the best idea for valuing a startup, company law in India dictates that the method be used.

So my question is this: the company is in it's first year and its cash flow is currently negative (and is projected to be negative for the next four years).
It is expecting equity infusions 6 months from now and another round in a year.
I am trying to find the price per share.

I have forecasted future cash flows under the assumption of the equity infusion. (without that the company will probably be bankrupt)
My question is: when arriving at a price per share, do I divide the (presumably) post money valuation by the existing number of shares or by the shares that will be arrived at after the equity influx. The problem with the latter is I am trying to arrive at the current share price and therefore cannot tell what the number of new shares issued will be without knowing this. The reasoning becomes circular.

Also, the problem with forecasting cash flows WITHOUT the equity influx is that I barely get any value as this is the company's first round of financing. The company has no debt.

Thank you so much!

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