The process of raising enough capital is the backbone of every startup. But company founders will agree that it is easier said than done. With a limited operating period, few assets and no reputation to rely on, convincing investors, ie. venture capital firms, to fund your startup is always a challenge. Over the years, various …
Venture capital has always been a risky asset class. The general consensus is that 90% of startups fail, and more than 66.67% of startups do not provide positive returns to investors. These risks pushed venture capitalists to develop a valuation method that secures desirable exits. The importance of the venture capital (VC) valuation method has …
Throughout a startup’s lifecycle, its business model, cash flows, and nature of operations keep evolving. Initially, many startups focus primarily on research and development. As they grow and reach key milestones, they begin generating regular revenue, attracting investor interest, and expanding operations to include product development, customer acquisition, and marketing. By the latter stage of …
Understanding a company’s liquidity is crucial for evaluating its financial health and resilience, especially in times of economic uncertainty. The cash ratio, which compares a company’s most liquid assets to its short-term liabilities, provides a stringent measure of immediate solvency. Eqvista analyzes the latest cash ratio data across a wide range of industries, as compiled …
A company’s ability to address its short-term financial commitments depends on how well it manages the resources available to its immediate debts. This balance is evaluated using a financial metric that compares current assets to current liabilities. This offers insight into the firm’s liquidity and operational efficiency. Understanding this metric helps businesses anticipate potential cash …
There’s a financial adage that goes something like, “Revenue is vanity, profit is sanity, but cash is reality,” and more rightly so. A 2015 study shows that nearly 90% or even more startups fail, of which 29% fail due to cash crunches. Cash issues are the second most common reason for failures after the lack …
Imagine trying to price a rare artwork without knowing what similar works have sold for—every guess feels like a shot in the dark. In the fast-moving world of SaaS, where recurring revenue and growth potential are prized, entrepreneurs, startups, and investors face a similar challenge: How do you pin down what a software business is …
The US has been a hub for technological innovation for almost a century. Hence, investors from all over the world want to invest in US startups. Consequently, even if a startup’s cap table starts off simple, its complexity increases with each funding round. A startup may eventually introduce multi-entity ownership structures to deal with compliance …
From 2022 to 2024, the proceeds from initial public offerings (IPOs) have grown from $7.8 billion to $29.6 billion in the USA. As per Deloitte’s estimates, this momentum is expected to continue, with IPO proceeds reaching $45-$50 billion in 2025. To capitalize on this trend, you must effectively guide your organization through accounting and compliance …
International expansion is a key chapter in any organization’s story. It carries benefits such as greater geographical diversification and scaling of operations. At the same time, it is also a significant financial commitment that carries substantial risks. Given its potential impact on long-term success, such a move demands thorough evaluation and planning. While contemplating such …
Angel investors, venture capitalists, and family offices that frequently invest in high-growth businesses have an extraordinary tax-saving opportunity under Section 1202 of the IRC. Such investors can potentially exclude 100% of their gains from QSBS investments. However, as with any great opportunity, this one comes with its own challenges. Since these tax benefits are meant …
Debt, if mismanaged, has the potential to become a destabilizing force capable of bringing down even the most powerful corporations. For instance, General Motors (GM), a prestigious American automobile company, had to file for bankruptcy after its debt became unmanageable. The company could only be rescued after its debt was reduced from $170 billion to …
A business partner can be a great asset and can supplement entrepreneurs with skills and acumen to run the business. It is always a good idea to consult your partner in major decisions. This builds trust and provides synergy to your business. However, the situation is not always amicable, and you may run into disagreements …
The data highlights a thriving US startup ecosystem driven by advancements in AI, fintech, SaaS, space exploration, and biotech. Venture capital firms play a pivotal role in fueling these unicorns, while strategic partnerships amplify growth potential. For entrepreneurs or investors interested in these sectors, focusing on scalable business models and emerging technologies could yield significant …
Long ago, billion-dollar startups were scarce; they deserved their magical nickname: unicorns. Today, these powerful private companies have multiplied across the global economy, transforming from rare curiosities into formidable herds that reshape entire industries. With more than 1,550 unicorns worldwide in 2025, their distribution tells us a compelling story about where innovation thrives, how capital …
Welcome to Employee Spotlight! Today, we’re excited to introduce you to Mike Arnstein, our Business Development Lead at Eqvista. Mike joins us with over a decade of experience in equity management, customer success, and account management, and we couldn’t be happier to have him on board! With a talent for connecting with people, Mike made …
Over the past few years, the US has emerged as the global epicenter for AI innovation and investment. Venture capitalists, corporate investors, and even government agencies are pouring billions into AI companies, fueling breakthroughs in machine learning, NLP, robotics, and generative models. This unprecedented flow of capital is enabling American AI firms to scale rapidly, …
The US AI funding landscape in 2025 is characterized by unmatched capital availability, frequent mega-rounds, and a supportive VC ecosystem, enabling rapid growth and innovation. Other countries, particularly in Europe, are making strides in AI innovation but face more cautious funding environments, regulatory complexity, and market fragmentation, resulting in lower overall investment and fewer large …
The 2025 market crash has turned into a rich lode for value investors. S&P’s decline of 4.6% has accentuated the decline of small-cap stocks to nearly 25%. This can offer a significant upturn when markets rebound. The general wisdom may suggest lapping up undervalued stocks, but true value investing needs a disciplined and systematic approach …
In 2024, the value of US venture debt deals nearly doubled to $53.3 billion, more than 25% of the value of venture capital investments in the same period. This marks a significant increase from 2001 when venture debt was only 5% of the value of venture capital investments. So, as more startups turn to venture …
