May 12, 2020

Business Valuation in the COVID-19 Recession

So how do you value a private business in New Zealand in these covid19 recession times? It’s not simple. The process I suggest is to: work out if your business truly is a going concern forecast your earnings and balance sheet during and post-shutdown analyse the risk of those future earnings in the coming years … Read More

by Bruce McGechan
February 21, 2020

Valuation for Start-Ups from a Venture Capital perspective

This article outlines approaches to valuing a new venture from a venture capital (VC) perspective. It attempts to help early and late-stage start-up entrepreneurs value their business when raising equity. At its heart business valuation is the sum of the discounted future cash flows. Easy to say, or write, in practice it’s difficult. Difficult for … Read More

by Bruce McGechan
January 27, 2020

Crowd Funding with Simeon Burnett of Snowball Effect

28 January 2020 My guest for this show is Simeon Burnett of Snowball Effect, a crowd funding platform and private equity marketplace. We discuss the crowd funding and equity raising landscape. Snowball Effect tends to work in the post-earnings post start-up stage of companies rather than the start-up and rewards part of crowd funding. Simeon … Read More

by Bruce McGechan
January 22, 2020

Valuing a Share Sale Offer vs an Asset Sale

This article is for those valuing a share sale for a mid-market private business. It is crucial to understand the offer’s net asset position at settlement before you can understand the total value of a share offer to the seller or buyer. Mid-market business prices are usually expressed as “Price plus SAV” (stock at valuation). … Read More

by Bruce McGechan
December 12, 2019

Venture Capital with Lance Wiggs

Episode 7 of the Curious Kiwi Capitalist Podcast 12th December 2019 My guest for this episode is Lance Wiggs, Manager of the Punakaiki Fund, a Venture Capital fund. We discuss the New Zealand venture capital landscape and how a venture capital firm operates. Lance takes a different approach to most VCs in how he has structured … Read More

by Bruce McGechan
September 25, 2019

Tax Reform including Capital Gains Tax with John Shewan

25 September 2019 My guest for this show is John Shewan—former chair of PWC, and serving Adjunct Professor of Victoria University and independent director. In this episode we discuss: Why the Capital Gains Tax (CGT) 2019 recommendation failed Lessons from tax reform through the decades including: –the rebellion against Muldoon’s tax rates, –wide support and … Read More

by Bruce McGechan
September 13, 2019

Long-Term Private Equity with Ian Frame

13th September 2019 My guest for this show is Ian Frame, retired CEO of Rangatira Investments, a long-term private equity firm. In this episode we discuss what is a private equity firm, what’s their fees, investors and strategy the difference between classic private equity (PE) firms and long-term PE firms what sort of investments they’re … Read More

by Bruce McGechan
September 12, 2019

A Private Capital Markets view on the Capital Markets 2029 Report

To remarkably little coverage (or PR fanfare) the New Zealand “Capital Markets 2029” report came out on 10 September 2019. Kris Faafoi, the Commerce Minister, seemed to kick it for touch (NBR interview) which means it will now wait a National government I guess, or perhaps he is waiting on MBIE to digest the 101 … Read More

by Bruce McGechan
August 27, 2019

Entrepreneurship & Early Venture Capital in NZ with Richard Higham

27th August 2019 My guest for this show is Richard Higham. Richard is one of the top business academic practitioners in New Zealand history. He has not only experienced but researched and studied entrepreneurship. He has run his own firm, consulted to corporates about entrepreneurship, and saw the start of venture capital in NZ before … Read More

by Bruce McGechan
August 15, 2019

Search Funds in Australasia with Alexander Simmons

15th August 2019 My guest for this show is Alexander Simmons. Alex is the founder of Voyager Equity a search fund. Search funds are completely new to New Zealand with no fund yet launched but with some interest from Kiwi searchers overseas. In Australia they have gained traction in the last couple of years with … Read More

by Bruce McGechan