There are four ways to support a price on something of value: (1) replacement cost, (2) market comparison, (3) discounted cash flow/net present value… - Josh Kaufman

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There are four ways to support a price on something of value: (1) replacement cost, (2) market comparison, (3) discounted cash flow/net present value, and (4) value comparison.

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Value Creation: How fast is the system creating value? What is the current level of inflows? Marketing: How many people are paying Attention to your offer? How many prospects are giving you Permission to provide more information? Sales: How many prospects are becoming paying customers? What is the average customer’s Lifetime Value? Value Delivery: How fast can you serve each customer? What is your current rate of returns or complaints? Finance: What is your Profit Margin? How much Purchasing Power do you have? Are you financially Sufficient?

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