What’s In a Valuation?


As an investor don’t just vote with your money. Invest in platforms that can be weighed, measured, and found to be lasting organizations.

As everyone with a brokerage account braces for emotional trauma they’ve rarely if ever experienced before it has been interesting to watch public and private investors react. There are aspects of public and private investing that I have always thought are unnecessarily divided.

When I first started in venture I was focused on early stage companies while public companies sat vaguely on the horizon as comps. “Maybe someday this company can be an Atlassian, and look how great we would do owning 20% of that?”

My next two jobs were both firms that focused on crossover investing, exposing me to both public and private companies. And you quickly realize that companies don’t magically move to a different universe when they go public. They’re still trying to hire engineers or sales people, trying to launch new products and enter new markets, and they’re still going to be meaningful competitors to private entrants. Overall I think you’re a better investor, regardless of whether you’re investing in public or private companies, if you have exposure to both.

Read More at Investing 101

Read the rest at Investing 101