Becoming a #unicorn 🦄 in the startup world is the ultimate achievement

Doing so in less than 1-3 years, A MIRACLE?

When Aileen Lee originally coined the term “unicorn” in 2013 – there were only 39 companies that were considered unicorns and fast forward to 2021 it’s just a little under 600 unicorn companies and growing!

So, HOW DO YOU GET THERE 🤑?

When I went to look for a definitive answer, it lacked the specificity I wanted to hear and I was frustrated.

A relative science, A fuzzy maths logic, some random valuation tools & methods – IS WHAT I FOUND!

I’d like to share an example in the comments.

Additionally, the reason a #fintech may be able to reach a billion-dollar valuation so quickly is because

1. Its momentum and story (in addition to their impressive growth rate)
2. How #investors and #venture #capitalists feel they will grow and develop
3. Longer term forecasting

This means their #valuations have nothing to do with the way they perform financially.

In fact, many of these companies rarely generate any profits when they first get running but their current value is dictated by the market forces in play TODAY and TODAY’S perception of what the future will bring.

Presenting this week’s #fincuts to help you ponder upon these miracle unicorns.