Seed Fund Scheme (SISFS)
Up to ₹20 lakh grant and ₹50 lakh investment via incubators.
Startup Services
Startup Valuation Report for Fundraising & Compliance
A startup valuation report supports your fundraise, share allotment, ESOPs or foreign investment – prepared under the applicable rules by qualified valuers.
- 7–15 working days
- Registered valuer reports
- DCF & market methods
- FEMA & Companies Act compliant
When does a startup need a valuation report?
- Raising equity or convertible instruments from investors, to justify the price per share.
- Preferential allotment of shares – the Companies Act requires a report from a registered valuer.
- Foreign investment (FEMA) – shares issued to or transferred with non-residents must follow fair-value pricing guidelines.
- ESOPs, buybacks and share transfers between founders or investors.
- Mergers, acquisitions and restructuring.
Valuation methods
- Discounted Cash Flow (DCF) – based on projected cash flows, commonly used for startups with clear growth plans.
- Comparable company and transaction multiples – based on how similar businesses are valued.
- Net Asset Value (NAV) – based on the company’s assets and liabilities.
The method depends on the purpose and the applicable rules. Our team coordinates with IBBI-registered valuers and, where required under FEMA, SEBI-registered merchant bankers, so the report is accepted by your bank, investors and auditors.
Angel tax update
The “angel tax” provision that taxed share premium above fair value has been abolished for all classes of investors from the 2024–25 financial year. Valuation reports remain essential for Companies Act and FEMA compliance and for supporting the price with investors.
Documents required for Startup Valuation Report
After you purchase, log in to My Account → My Services and upload each document below. Scanned copies or clear phone photos (PDF, JPG or PNG) are fine. Your files are stored privately and seen only by your assigned expert.
-
Financial statements Audited accounts for the last 2–3 years or since incorporation Required
-
Financial projections At least 3–5 years, with key assumptions Required
-
Shareholding pattern / cap table Current and proposed after the transaction Required
-
Certificate of Incorporation and MOA/AOA Constitution documents Required
-
Term sheet or transaction details Proposed investment, instrument and price, if available If applicable
-
Pitch deck or business overview Helps the valuer understand the business If applicable
Startup Valuation Report process with Nevo Legal
Purpose & method
We confirm the purpose and the rules that apply.
Data review
Financials, projections and cap table are reviewed.
Valuation analysis
The valuer applies suitable methods and assumptions.
Report
A signed valuation report is issued for your records and filings.
What you get
- Signed valuation report from a registered valuer
- Summary of methods and assumptions
- Guidance on related filings (PAS-3, FC-GPR)
Startup Valuation Report – frequently asked questions
Who can issue a valuation report?
Under the Companies Act, a registered valuer must issue the report. For FEMA pricing, reports from a chartered accountant or SEBI-registered merchant banker are accepted depending on the transaction.
How long is a valuation report valid?
For most transactions, the report should be dated within 90 days of the issue or transfer of shares.
Do I still need a valuation now that angel tax is abolished?
Yes, for Companies Act and FEMA compliance and to justify your pricing to investors and auditors.
You may also need
All Startup Services services Related services
Government Grants & Schemes
Find and apply for central and state grants and subsidies.
Business & MUDRA Loan Assistance
Bank-ready applications for MUDRA, CGTMSE and business loans.
Not sure which service you need?
Speak to a Nevo Legal expert. We will understand your requirement and recommend the right legal route – no obligation.