The Various Ways of determining the #value of a #company/#business

It can be tricky to determine to value of a company.
Most businesses hype their numbers while some don't even know theirs.

Let's see how...
I'm gonna try to keep it very simple, nothing too technical here.
🧵 #Asset Approach:
The most common way of knowing the value of the company is by calculating at the value of assets it has (also accounting for it's liabilities obviously)

However, this might not be the best way to value every business.. it might suit some over others.

"Lending someone money to get double the money after 3 years.
Sounds interesting.
🤔"

I posted this on my Whatsapp status and some people actually said that doubling your money in 3 years isn't a good Idea?

Someone even said anything that doesn't double his money in 1 year - ❌ I laughed...😅😂😂

Before I start explaining, I want to make some points.

1. If you networth is less than $1m, you are prolly a gambler. Yh, we are basically looking for things to multiply small money fast. That's gambling, and not what Real Investors do with all their money

Honestly, this is the best #Crypto winter so far.. people are still optimistic abit.

2018 was bloody.
I wasn't actively into crypto then, I was still a "crypto student" back then.
I saw miners selling their rigs for pennies, coins like ERC 20 literally going to nothing. It was carnage! You don't witness all that and go back to f**k'n up.
So try to learn from this.