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Old 12-11-13, 08:36 AM   #44
ClunkintheUK
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Default Re: Engineering career/general life advice...

Quote:
Originally Posted by yorkie_chris View Post
But fook knows how that applies to me. I can't invest in it, and what would it be worth book value? 2 million? Would there be any point owning 3/5ths of fook all of that when nobody else would buy the share. If you've got any knowledge of the permutations on that side of it I'd love to know more about it as I have no idea.
You said earlier it had a revenue of around 1.2m so rough rule of thumb (and this is very rough, as there are many factors) is that the company would be worth about 1.2m to private equity/VC firms, though they would be looking for growth potential before they would be interested.

If that is based of off two people's technical work, you and the son, that would put you in a very strong position if the MD wanted to sell. There is no way that PE would be interested if half the firepower behind the company walked or might walk. The way you'd gain a share is to use that, PE might even want to use it to tie you into the company. Might only be 3-5% of the equity at that stage, but at 30-35 its not bad.
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