Cuadernos de Economía

Estimating the Value of a Start-up Funded by Venture Capital: A Case Study of Uber Technologies Inc

  • Kafaa Ali Alborgeef , Assistant Prof, Mustansiriyah University, Faculty of Administration and Economics, Department of Business Administration.
  • Arsalan Khadim Mahmood , Radiological Techniques Department, College of Health & Medical Techniques, AL-Mustaqbal University, 51001 Hillah, Babil, Iraq.

Keywords:

Venture Capital, Start-Ups, Company Value, Venture Capital Method.

Abstract

The aim of this study is to evaluate the efficacy of the Venture Capital Method (VCM) in estimating the value of start-up companies funded by venture capital. A sample of 110 respondents was collected using a Likert scale questionnaire. Statistical analysis was conducted using JASP version 0.19.0.0. The findings indicate that VCM is effective in estimating the value of start-up companies that receive venture capital financing. This research contributes significantly to understanding the relationship between the Venture Capital Method and start-up financing. The study concludes that VCM is a vital analytical tool for determining the value of start-ups both before and after the injection of new capital. The findings are particularly novel as they utilise a technology company as a case study, thereby generalising the results to other start-ups.