Difficult Questions for Founders to Consider When Forming a Startup
Valuing Contributions First, let’s look at valuing contributions to the startup. These can come in the form of cash, intellectual property, equipment, real estate, or past and future services to the startup. Cash is easy to value. It is the other contributions that are hard. Real estate, off-the-shelf equipment, and other tangible property are the next easiest to value, as the founders can find the market value by having it appraised by expert valuers or by finding the market value of equivalent equipment or property.…