Valuation of New Technology-Based Firms (NTBFs) in Iran: Statement of problem, challenges and solution

In a knowledge-based economy, advanced science and technologies and thus technology-based firms are considered as competitive advantages of countries and driving force of economic growth. They have been also taken into consideration by most researchers in different countries in recent years. Success and value creation of these firms depend on numerous factors. Availability of financial resources is considered as one of the most important key factors in development of these firms. Venture capital (VC) is one of financing ways due to the special nature of these firms. During a financing process by venture capital, valuation of new technology-based firms (NTBFs) is one of the most important and challenging issues for venture capitalists and entrepreneurs. This paper explained challenges of this field by accurate examination of issue and statement of problem, and investigated valuation of these firms by review of internal and external studies and a literature gap between financial and entrepreneurial approaches, and finally offered a solution for filling this gap by utilization of a strategic management approach