Startup Terms Glossary
What is a Post Money Valuation?
A company’s value is affected greatly by investments that come in from stocks, bonds, and other securities. A company’s post money valuation refers to the value of a company after
Post Money Valuation Examples
An example of a post money valuation is:
- Example 1. A startup company and an investor have agreed that the value of their company is $500,000. The investor agrees to invest $25,000 into the company in exchange for a portion of ownership. The post money valuation of the company is the value plus the amount the investor puts up – in this case, $525,000.
Here’s another web page that talks about the meaning of post money valuation.
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