This is a very useful guide that one can turn to when one happens to be a venture capitalist by profession.
The guide contains information about numerous important financial models knowing about which venture capitalists can greatly benefit and achieve success in all their financial activities.
The information that is provided in the book is one that is entirely up to date especially with regard to cost capital calculations and risk return. Real options methodology is also something that has been discussed about in this book as well as the new connections that can be used to venture capital valuation.
According to Ted Schlein, a financial expert, the book is one that provides those who are engaged in the profession of finance with a very sound understanding of the practicalities that one needs to be aware of when engaged in finance and also gives them a very thorough grounding in various financial principles.
Some of the Principles that Needs to be Mastered by the Venture Capitals Include
Total valuation, that is the data as well as the methods that are used for valuing the growth of a very high company
The relationship which exists between return and risk as far as the venture capital is concerned
Partial Valuation, which means the ways in which the venture capital can be evaluated as well as visualized
New Features in the Second Edition
New rankings for the top known venture capitalists that exist
New internet based models which allow for easy valuation and visualization
Discussions of the various challenges that are facing venture capital in the second decade of this twenty first century
About the Author
Andrew Metrick is a reputed and popular professor of finance at the school of management at Yale University. He previously taught at the renowned Wharton School of Economics of the University of Pennsylvania.
Ayako Yasuda is one of the professors for graduate management studies at the University of California, Davis. She has worked before at the Wharton School of the University of Pennsylvania. Before she received her PhD she spent quite a bit of time in the field of investment as well.