Every valuation, re-derivable
to the cent.
One analytical engine. Five valuation methods, hybrid-weighted into a single conclusion, allocated across the cap table by three engines, and discounted for marketability by four models — for 409A, ASC 820, ASC 718, and international standards alike.
The five methods
Five methods, hybrid-weighted to one conclusion.
Each method runs independently with full inputs and intermediate exhibits. The analyst assigns percentage weights; the platform computes a single Weighted Indicated Equity Value, reproducible to the cent.
Discounted Cash Flow
Full WACC build — CAPM with Hamada re-levering, Duff & Phelps / Kroll size premium, company-specific and country-risk premia, and MROUND rounding — plus two terminal-value methods (Gordon growth and exit multiple) and TCJA two-bucket NOL, with an automatic 2-D sensitivity grid.
WACC build
CAPM + Hamada
Terminal
Gordon · Exit
Sensitivity
Auto 2-D grid
- 02 · GPC
Guideline Public Company
Live Capital IQ comparables via the in-product Explorer. All revenue & EBITDA multiples (LFY/LTM/NFY) computed automatically with mean, median, harmonic, and percentile aggregation.
- 03 · GTM
Guideline Transactions / M&A
Deal comparables on the same statistical framework as GPC, with optional recency weighting and an implicit control premium captured against the GPC spread.
- 04 · Backsolve
OPM Backsolve
Black-Scholes inversion against the full preference stack with automatic breakpoint construction, solving for the implied equity value that reconciles a recent priced round — including Sandwich mode.
- 05 · Post-Money
Post-Money Method
Recent round post-money taken as fair value, with treasury-stock-method treatment — a clean sanity check or primary indication for early-stage companies.
The three allocation engines
Three engines, one allocation table.
OPM, CVM, and CSE run in parallel against the concluded equity value and merge into one per-security allocation table, with the weights persisted as auditable data.
OPM
Option Pricing Model
Black-Scholes per-class allocation across the full preference, participation, and conversion waterfall — automatic breakpoints, per-share and ownership outputs.
CVM
Current Value Method
Deterministic liquidation waterfall in strict seniority order — the right method for near-term-exit or distressed contexts.
CSE
Common Stock Equivalent
Fully-diluted, common-equivalent allocation — a clean treatment for mature structures and a useful cross-method sanity check.
DLOM methodologies
Four marketability-discount models.
Applied company-wide or per share class — with optional class-specific volatility derived via Merton elasticity from the OPM breakpoints, producing a defensible per-class DLOM.
Chaffe
Protective Put (1993)
European put representing the cost of illiquidity over the holding period.
Finnerty
Average-Strike Put (2012)
Asian-style average-strike put — more conservative than Chaffe.
Geometric
Geometric Average-Rate Put (Asian)
Geometric-averaging adjustment capturing path dependence in the expected exit.
RSR
Restricted-Stock Studies
Empirical benchmark (median ≈ 27%) when volatility-based inputs are unreliable.
Reporting standards
One engine, every jurisdiction.
In the US the deliverable is a 409A, ASC 820, or ASC 718 report. In India and the rest of the world, it's an Indicated Value report — same methodology, multi-currency and multi-jurisdiction. 409A is one report among several, never the whole story.
409A Fair Market Value
IRS-compliant fair market value for employee stock options, with a locked finalization for tax-defense posture.
Fair Value Measurement
Level 1/2/3 fair value for financial reporting, fund NAV, and LP reporting — market-participant inputs via Capital IQ.
Stock-Based Compensation
Employee stock-option plan (ESOP) expensing and grant-level fair value for compensation accounting.
Worked example
From five methods to one per-share fair value.
A late-stage engagement weights the methods into a single concluded value, then blends the allocation engines into one per-share number — every weight persisted and reproducible to the cent.
| Method | Indicated value | Weight | Contribution |
|---|---|---|---|
| DCF | $120,000,000 | 40% | $48,000,000 |
| GPC (Median EV/Revenue, NFY) | $135,000,000 | 30% | $40,500,000 |
| GTM (Median EV/EBITDA, LTM) | $140,000,000 | 20% | $28,000,000 |
| Backsolve (Series C anchor) | $128,000,000 | 10% | $12,800,000 |
| Weighted Indicated Equity Value | 100% | $129,300,000 |
| Allocation method | Weight | Common per-share | Common total |
|---|---|---|---|
| OPM | 50% | $8.40 | $67.2M |
| CVM | 30% | $6.10 | $48.8M |
| CSE | 20% | $12.93 | $103.4M |
| Weighted result (pre-DLOM) | 100% | $8.70 | $69.6M |
A marketability discount (DLOM) is applied on top to reach the final, per-class fair value per share.
Standards alignment
Built to the standards your auditor uses.
FAQ
Frequently asked questions.
The platform supports five enterprise/equity valuation methods — Discounted Cash Flow (DCF), Guideline Public Company (GPC), Guideline Transactions/M&A (GTM), OPM Backsolve (including Sandwich mode), and the Post-Money method. Each method runs independently and is combined through percentage-based hybrid weighting into a single Weighted Indicated Equity Value.
See the methodology run live.
Book a walkthrough to see the full engine run on a representative engagement — every input structured, every weight reproducible.