A private equity firm is an investment company that provides private backing and makes investments start-up or operating companies through various investment strategies. Private equity firms have attracted the best and brightest in the corporate world, including top performers from the top companies on the Fortune 500 or the FTSE 100. Top performers at accounting and law firms are sought after due to the transaction support work required to complete the deal.
Price Earnings Ratio – PE Ratio – Price to Earnings Ratio
This calculates the market value of a stock relative to its earnings. The price earnings ratio shows what the market is willing to pay for a stock based on current earnings.
Erik Moore is a recovering investment banker who is now the managing partner & founder of Base Ventures. Moore has invested in nearly 25 startups, including Tracksby, Ecomom and Socialcam. He was one of the first investors to finance Zappos, a shoes and apparel company sold to Amazon for $12 billion. Continue reading Erik Moore, a successful startup investor
What is an IPO?
An IPO is the first time that the stock of a private company is offered to the public. IPOs are often issued by smaller, younger companies seeking capital to expand, but they can also be done by larger companies looking to become publicly traded. IPO stands for initial public offering, and is essentially a company issuing equity to potential shareholders for a price. Continue reading Best IPO’s of 2016 broken down
To get a good idea of what a business is actually worth you should look at a company’s balance sheet. Every 12 months a director will prepare a company’s balance sheet.
The profit and loss account is a way to look at the past performance of your company. Its different to a balance sheet which is a snapshot of the present, and the cash flow forecast which is a look into the future. All profit and loss statements have these important categories;
I used to believe in the concept of money. I put my trust in the crisp pink fifties, coke laced twenties, and bacteria infested ten pound notes until I heard about fiat currency.
Definition of fiat currency;
‘Inconvertible paper money made legal by government decree’