In today's uncertain market with high capital costs and changing investor demands, startup valuation requires both expertise and adaptability. Valuation specialists Ross McSwain and Charles Gallman discuss how economic challenges are shaping current models and highlight the growing importance of founder vision and qualitative factors.

They outline cost, market, and income approaches for different growth stages, referencing AICPA guides and practical experience, and stress the need to align methods with milestones and capital structure.

Key takeaways

• Valuation shifts as startups grow
• Qualitative factors matter
• VC return goals set discount rates
• Cost approach applies beyond early stages

Continue reading to learn about key resources available at AICPA-CIMA.com to improve your valuation analyses.

Guests:

• Charles Gallman, CPA/ABV, Managing Director, Advisory Services, Grant Thornton
• Ross McSwain, ABV, Managing Director, Advisory Services, Grant Thornton

Host: Nene Glenn Gianfala, CPA/ABV, Senior Vice President – Valuation Advisory Group, Chaffe & Associates

Please share your thoughts about the episode - click here to leave us a review

Want to get involved with future FVS conferences, committees, task forces, or the standing ovation program? Send a message to [email protected]

RESOURCES FOR FURTHER EXPLORATION If you're using a podcast app that does not hyperlink to the resources, please visit our podcast platform to access the show notes with direct links.

Check out early bird and special discounts for AICPA and FVS Section members, and ABV, CFF and CVFI credential holders

• AICPA Forensic & Valuation Services Conference, Oct 28-30, Aurora, CO, in person and online
• AICPA Expert Witness Skills Workshop, Oct 28-30, Aurora, CO,in person only
• Business Valuation School - Sep 8-12, Raleigh NC, in person only
• Business Valuation School - Dec 1-5, Live online

Accounting and Valuation guides from AICPA If you are an AICPA-FVS Section member see below for free access to these guides

• Valuation of Privately Held Companies Equity Securities Issued as Compensation
• Valuation of Portfolio Company Investments of Venture Capital and Private Equity Funds and Other Investment Companies
• Assets Acquired to Be Used in Research and Development Activities - Accounting and Valuation Guide

Exclusive content available with AICPA FVS Section membership: Click here to join this active community of your FVS peers. You will get 16 credits of complimentary CPE and access to rich technical content

• Valuation of Privately Held Companies Equity Securities Issued as Compensation
• Valuation of Portfolio Company Investments of Venture Capital and Private Equity Funds and Other Investment Companies
• Assets Acquired to Be Used in Research and Development Activities - Accounting and Valuation Guide

The FVS Valuation Podcast archives

• Early-Stage Valuation, A Conversation with author Antonella Puca
• 409A Valuations – What you Need to Know
• Valuation Considerations in Equity Compensation

LEARN MORE ABOUT THE FOLLOWING AICPA CREDENTIALS:

Accredited in Business Valuation (ABV®) – Visit the home page and check out the ABV infographic

Certified in the Valuation of Financial Instruments (CVFI®) – Visit the home page and check out the CVFI infographic

Certified in Financial Forensics (CFF®) - Visit the home page and check out the CFF infographic

This is a podcast from AICPA & CIMA, together as the Association of International Certified Professional Accountants. To enjoy more conversations from our global community of accounting and finance professionals, explore our network of free shows here. Your feedback and comments are welcomed at [email protected]