At Accuserve, we are experts at valuing Biotechnology companies. Biotechnology companies are harder to value given the large uncertainty associated with their cash flows and lack of application of well known techniques such as relative valuation multiples and the income approach. Therefore, we have developed, contribution margin based approach, a variant of the income approach, which takes into account several factors such as the number of clinical stages, the expenses occured in different clinical stages, the peak years to revenue and the total income potential, the risks of achieveing those revenues at different stages (bayesian probabilities) and modified discount rates needed to calculate contribution-margin based income approach enterprise values. These techniques can also be applied to medical devices companies with a slight modification.Our research has led us to establish average spends in different clinical stages, typical probabilities for progressive revenue generation for different device and drug combinations, and probable discount rate ranges. This helps in validating a host of business models to see if development processes have been reasonably budgeted and the estimation of the true income potential of the drug or device. Contact us to learn more about the techniques we use and how we seek information from you to validate your business model. We have experience in modeling businesses in the areas of cancer therapeutics, medical devices and platforms (including those using the FDA fast track 510K process), genetic software, gene therapies, clinical research outsourcing, among other specialties. One of the techniques used (rNPV) is shown below as a graphical output.