Keeley, Robert H.; Punjabi, Sanjeev; Turki, Lassaad - In: Journal of Entrepreneurial and Small Business Finance 5 (1996) 2, pp. 115-138
This paper presents a new method for valuing early stage ventures, a method which views new ventures as multi-stage call options. It examines the traditional methods for valuing such ventures--the ubiquitous Discounted Cash Flow (DCF) Method using a risk adjusted discount rate, and the Venture...