A Guide to DCF Valuation by Professor Aswath Damodaran

The Discounted Cash Flow (DCF) valuation method is a widely used approach that assesses a firm's value based on its projected future performance.

Its primary advantage lies in its ability to estimate a company's intrinsic value by focusing on future earnings potential.

The DCF method is particularly useful for valuing startups, as it relies on future financial projections.

However, the accuracy of the valuation is highly dependent on the quality of the financial forecasts and the assumptions made during the process.

Key Components of DCF Valuation:

🔷 Projected Free Cash Flows (FCFs):

Estimate the company's future cash flows over a defined forecast period.

🔷 Growth Rate of FCFs:

Develop assumptions regarding revenue growth and cost trends to project cash
flow growth.

🔷 Discount Rate (WACC or Required Return):

Use the Weighted Average Cost of Capital (WACC) or the required rate of return to reflect the business's risk profile.

🔷 Terminal Value (TV):
Account for the value of the business beyond the forecast period using one of the following methods:

. Gordon Growth Model (Perpetuity Growth Method)
. Exit Multiple Method

🔷 Discounting FCFs and Terminal Value to Present Value:

Apply the discount rate to calculate the present value of the projected cash flows and terminal value.

🔷 Enterprise Value (EV) Calculation:

Determine the enterprise value by summing the discounted free cash flows and terminal value.

🔷 Net Debt Adjustment:
Subtract the company's net debt from the enterprise value to arrive at the equity value.

🔷 Sensitivity Analysis:
Evaluate the impact of varying assumptions (e.g., growth rates, discount rates) on the valuation to understand potential outcomes.

The DCF valuation method provides a robust framework for estimating a firm's intrinsic value 🪙, but its reliability hinges on the accuracy of the underlying assumptions and projections 🚀.

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🚀 Introducing weekly VC Panel Discussions!

We’re thrilled to launch our Weekly VC Panel Discussions, an exclusive platform for venture capital investors 💼.

Join industry leaders and fellow investors to explore insights, strategies, and trends shaping the future of venture capital 📈.
These sessions are more than knowledge-sharing—they’re about building connections, fostering collaboration 🤝, and staying ahead in the fast-paced investment world 🌏.

Stay tuned for schedules and topics. Let’s lead the future of investment together! ⭐

🙋 Public pitch session for Startups!

We’re excited to announce an exclusive public pitch session for Startups, designed to provide valuable insights and opportunities for growth 📈.

Please note: Participation is only open to startups that have completed our KYC process and obtained the KYC Certificate ⭐.

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Failure is often seen as a dead-end, but in reality, it’s just a stepping stone—especially in the world of crypto 🌍.

Markets crash, projects fail, and mistakes happen, but true builders and investors see every setback as an opportunity to learn and grow. Just like Bitcoin was once dismissed and now dominates, those who stay resilient will always find a way to turn losses into wins 👆.

As Robert Kiyosaki puts it:
"Failure defeats losers, failure inspires winners."

Goodnight, and keep building. The next bull run belongs to those who refuse to quit.

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TECH HY Partners with Glorious for Future Growth


At TECH HY, innovation and sustainability are at the core of everything we do. ✈️ As part of our commitment to building a stable and prosperous future, we’re thrilled to announce a groundbreaking partnership with Glorious, a leading Bitcoin mining company with over 3,000 ASICS worldwide 🌎.

This partnership marks a significant step forward in our mission to diversify income streams and strengthen our VC treasury. Let’s dive into the details of this exciting new development 📈!

💡 Key Highlights of the Partnership 🤝

Who is Glorious?

🔹 Glorious is a trusted name in the Bitcoin mining industry, operating a robust network of over 3,000 ASICS globally 🌎.

Their expertise and infrastructure make them an ideal partner for TECH HY as we venture into the world of Bitcoin mining 💰.

🔹 15% Profit Allocation to Bitcoin Mining ⛏️
💰 As part of this partnership, 15% of TECH HY’s profit will be allocated to Bitcoin mining in collaboration with Glorious 👏.

This strategic move is designed to:
Build a strong VC treasury to support future investments 💰.
Create a stable and sustainable income stream for the long term .


The partnership between TECH HY and Glorious is a testament to our forward-thinking approach and commitment to long-term success. By allocating 15% of our profit to Bitcoin mining 💰, we’re not only diversifying our income streams but also building a solid financial foundation for the future 🤝.

This move positions TECH HY as a leader in innovation, combining cutting-edge technology with strategic investments to ensure stability and growth 📈.

🙋 Stay tuned for more updates as we continue to expand our horizons and bring even more value to the TECH HY community🙋.

Together, we’re building a brighter, more sustainable future! 👏

Have you cast your vote yet?

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Crypto success isn’t just about timing—it’s about resilience 🔓.

As Dale Carnegie said, great things happen to those who keep going, even when hope seems lost.
Bear markets 📉, setbacks, FUD—push through, and the rewards will follow 👆.

Good night, and keep hodling💲!

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VC Guide to Seed Fundraising: Essential Insights for Founders

Raising seed funding 💰 is a pivotal milestone for startups, but it can feel overwhelming without the right guidance.

This guide simplifies the process, offering founders actionable insights on when, why, and how to raise funds, build investor relationships 🤝, and close deals effectively.

Here’s a professional breakdown to help you navigate fundraising with confidence and strategy:


🔷 Why Raise Seed Funding?

Seed funding fuels your startup’s growth, helps you hire top talent, and gives you a competitive edge. While challenging, it’s a crucial step for most startups aiming to scale

🔷 When Should You Raise Money?

Timing is everything. Raise funds when you have:
🟢 A compelling story to tell.
A product with measurable traction.
🔴 Evidence of market fit.

Pro Tip: Growth rates of 10% per week are impressive benchmarks that attract investors.

🔷  How Much Should You Raise?

Raise enough to hit your next major milestone or achieve 12-18 months of runway.

🔵 Typical seed rounds range from $500k to $2M.
⚪️Aim to keep dilution under 20% to retain control.

🔷 Key Financing Options:
🔴Convertible Debt: A loan that converts to equity during future funding rounds.
🟢 SAFE (Simple Agreement for Future Equity): A founder-friendly, simplified alternative to convertible debt.
🟣 Equity Rounds: Less common for seed funding but involves selling shares directly.

🔷 How to Meet Investors:

🔴Build relationships through warm introductions or demo days.

🔘 Pitch with confidence, humility, and a clear, compelling story.

🔷  Closing the Deal:
🟢Use standardized documents to streamline the process.
🔵Momentum is critical—secure your first investor to build credibility and attract others.

🔷 Fundraising Rules for Success:
🔴 Stay ethical and organized throughout the process.
🔵 Optimize for speed and breadth in investor outreach.

Don’t over-optimize valuation or take rejections personally.

Final Thoughts

Fundraising success hinges on preparation, storytelling, and persistence. Focus on building a great product, understanding your market, and crafting a pitch that inspires confidence.

Remember, the goal isn’t just to raise money—it’s to secure the right partners who believe in your vision and can help you succeed.

Found this helpful? Share it with your network to help other founders succeed!

Follow for more professional insights and updates. 🚀

Dear Friends, I'm excited to share the latest update on our services! 🤗

We invite all interested startup teams to complete our KYC process and receive a virtual certificate like this one: https://techhy.me/kyc/certificate/example 📕.

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This certificate confirms that the C-level executives and founders have successfully completed KYC, proving they aren’t hiding their identities and that the individuals listed in your investment deck are indeed the real deal ✅

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In today’s global trend of cryptocurrency regulation and the shift of crypto projects into a legal framework, this service is becoming especially relevant and is now the norm for projects committed to building their businesses transparently 🌎

TECH HY VC wholeheartedly supports teams of such projects, which is why completing KYC is a mandatory step for participation in our incubation program 💙

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The biggest breakthroughs come from ignoring naysayers. Crypto has proven this time and again—Bitcoin 💰, DeFi, and NFTs all faced doubt before revolutionizing finance 💰.

As Robert Kiyosaki said:
"When you hear that something can’t be done, ignore that advice and push forward."

Keep building. The future belongs to the relentless. Goodnight 💙!

#Crypto #NeverGiveUp

GM, builders and believers!
In crypto, success isn’t just about the endgame—it’s about making moves. Every trade, every build, every lesson is progress 📈.

"You are successful the moment you start moving toward a worthwhile goal." – Chester Carlson

Keep pushing. The future is being built now ⚙️!

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Mastering the Art of Managing Venture Capitalists (VCs)

Dealing with venture capitalists (VCs) can feel like navigating 🔓 a high-stakes game, much like handling a crocodile—one wrong move, and things can go south. For seasoned founders, managing investors with high expectations is a skill that requires proactive communication, transparency, and strategic problem-solving ✅.
When done right, these relationships can transform from risky encounters into powerful partnerships 🤝.

🔷 Regular and Structured Updates

Consistent communication is key to maintaining investor confidence. Seasoned founders send monthly updates that cover critical areas such as revenue, customer growth 📈, challenges, and key milestones.
Metrics-driven reporting, including figures like Monthly Recurring Revenue (MRR), burn rate, and runway, ensures transparency and builds trust.

🔷 Address Problems Before They Ask

No business journey is without its challenges. When issues arise—such as missed targets or high churn—proactive founders inform their investors before they find out on their own. More importantly, they present solutions alongside the problem ❗️. This approach demonstrates accountability and reassures investors that the founder is in control.

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