Summary
Pre-Money/Post-Money Valuation
In venture capital, pre-money valuation refers to the valuation of a startup before it goes through a round of external financing.
Post-money valuation, on the other hand, includes the new capital injected during the investment round.
Both of these terms are crucial in determining how much of the company an investor will own after the investment.
While pre-money valuation sets the stage for negotiation, post-money valuation is what everyone looks at as the new "worth" of the company after the deal.
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