Payne Scorecard Method
Comparable Transaction Method
The Payne Scorecard Method is a relative valuation approach that compares the target company to a set of startups similar in stage, geography and industry. Variations occur due to differences in qualitative factors.
The comparable transactions method is also a relative valuation approach and is the simplest method. It just takes the average valuation of a set of startups similar in stage, geography and industry.
The cost-to-duplicate method, on the other hand, calculates the theoretical value to rebuild the startup. The method takes into account the time and resources required. This approach is mainly used by strategic investors, mostly established companies, to take a make-or-buy decision.