Among the +150,000 firms in the U.S. that generate over $10 million in annual revenues, roughly 90% are privately-held companies.
Since private companies are not regulated by the federal government and thus, in most cases, are not required to regularly file with the Securities and Exchange Commission, private company financial data can be incredibly elusive. At the risk of sounding promotional, this very fact is why PrivCo was founded, in order to shine a light on either large or fast-growing private companies, their financials, owners, deal history, and so on.
PrivCo’s Private Company Knowledge Bank, which is outlined below, is a free resource written by the PrivCo team to help navigate and comprehend the ins and outs of the private market. We will constantly be updating the PrivCo Knowledge Bank to include more details and case studies, as well as to simply expand upon what we have included in our 1.0 version.
Contents
Introduction to Private Companies
- The Benefits of Being a Publicly-Traded Company
- The Benefits of Being a Privately-Held Company
- Types of Private Companies
Private Company Valuation
- Overview on Private Company Valuation Techniques
- Factors Influencing Private Company Valuation
- Valuation of Private vs. Public Companies
- Private Company Valuation Methodologies
- Comparable Company Trading Multiple Analysis (Public Comps)
- Comparable Transaction Analysis (Deal Comps)
- Discounted Cash Flow Analysis (DCF)
- Other Valuation Methods
Private Company Mergers & Acquisitions
- Types of Private Company M&A and Similar Transformative Transactions
- Expansion Transactions
- Key Differences Between Mergers and Acquisitions
- Key Differences Between Public and Private M&A
- Strategic vs. Financial Buyers
- Contraction Transactions
- Ownership Change Transactions
- Change of Corporate Control Without a Transaction
Private Equity & Venture Capital
- The Private Company Lifecycle
- The History of Private Equity & Venture Capital
- The Father of Venture Capitalism
- Small Business Investment Act of 1958 & The First Venture-Backed Startup
- The First Leveraged Buyout
- Flow of Funds in a Leveraged Buyout
- The First Boom and Busts Cycle (1982-1992)
- The Second Boom and Busts Cycle (1992-2002)
- The Third Boom and Busts Cycle (2002-2007)
- Types of Private-Equity Related Transactions
- Private Investment Securities Filing Requirements
- Full Disclosure: Private Placement Memorandums (PPM)
- State and Federal Securities Filing (including “Blue Sky Laws”)
- Angel Investors: Raising Private Investment Capital from Sophisticated Investors
- Venture Capital Investments
- Raising Venture Capital – Advantages
- Raising Venture Capital – Disadvantages
- Venture Capital Term Sheets
Bankruptcy & Restructuring
- Chapters of Bankruptcy
- Chapter 7: Liquidation
- Chapter 11: Reorganization
- Private Company Restructuring
- Creating Value in Restructuring
- Reasons Behind Restructuring
- Methods to Assess Forms of Restructuring
- Methods of Financial Analysis for Restructuring
- Spin-Offs
- Creating Value With Spin-Offs
- Criteria For Tax-Free Dividend Payments
- Issues With Respect to Spin-Offs
