Company Valuation / Equity

Company Valuation / Equity

Postby Niceguy_London on Mon Jul 05, 2010 7:10 pm

Hi

I am currently a self-employed freelancer, registered for VAT.
I have recently been offered a full-time permanent position at a private limited company.
Their offer comprises a basic salary and also an equity option. This is the option to 'buy' shares at (they say) a discounted rate.
How do I value the real benefit of the equity portion of their offer?
Any help greatly appreciated.

Niceguy.
Niceguy_London
 
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Re: Company Valuation / Equity

Postby tom 7000 on Wed Jul 07, 2010 4:19 pm

lots of different ways to do this none right none wrong...


Heres one way..

get the company balance sheet

Take the number at the bottom multiply by three

take the number and divide it by the number of shares plus options

Thats what the option is worth

Tom
tom 7000
 
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Location: Farnborough Hants


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