⛳ Pre-Revenue Enterprise Valuation

eGolf Village Private Label Apparel Platform

1. Business Overview (Valuation Context)

Company Concept
A national, syndicated, private-label golf apparel brand serving only pro shops, using pooled demand to unlock factory-direct pricing and superior margins.

Core Advantages

• Captive B2B channel

• Recurring bulk demand

• High gross margins (60%+)

• Proprietary buying network

• Platform lock-in

• Scalable supply chain

This is not a DTC clothing brand.

It is a B2B infrastructure + brand + marketplace hybrid, which commands higher multiples.

2. Market Opportunity (TAM / SAM / SOM)

Total Addressable Market (TAM)

U.S. golf shops (courses + resorts + clubs):
~12,000–15,000 locations

Average annual apparel spend per shop:
$40k–$100k

Conservative midpoint: $60k

TAM

15,000 × $60k = $900M/year

Serviceable Market (SAM)

Independent + semi-private shops likely to adopt:
~6,000 locations

6,000 × $50k = $300M/year

Serviceable Obtainable Market (SOM – 5 Year Target)

Target penetration: 10–15%

600–900 shops
× $45k
= $27M–$40M ARR

This supports venture-scale outcomes.

3. Unit Economics (Projected)

Target Economics Per Shirt

Platform Gross Margin

After ops, logistics, admin:

Target: 25–30% net margin

Very strong for apparel.

4. Revenue Ramp Model (5 Years)

Conservative Adoption Curve

This is realistic for a network-driven rollout.

5. Comparable Company Logic (Benchmarks)

Comparable categories:

Your model sits in all three.

Blended multiple: 7x–10x ARR

6. Pre-Revenue Valuation Methods

We’ll triangulate using 3 models.

Method 1: Venture “Build-to” Valuation

Project Year 5 exit:

Revenue: $40M
Multiple: 8x

Exit Value = $320M

Early-stage investors target 10x–15x return.

$320M ÷ 12 = $26.7M

👉 Base valuation today: $25M–$30M

Method 2: Replacement Cost + IP Value

What would it cost to replicate this?

Replacement Cost ≈ $10.5M

Early ventures trade at 2–3x replacement:

$10.5M × 2.5 = $26.25M

👉 Supports: ~$25M

Method 3: Market-Based Seed Valuation

For B2B platforms with:

✅ Founder experience
✅ Existing ecosystem (eGolf Village)
✅ Defined buyers
✅ Supply chain plan
✅ Recurring revenue model

Typical range:

Because this plugs into your existing ecosystem:

👉 Upper range applies.

7. Blended Valuation Conclusion

🎯 Recommended Pre-Revenue Valuation

$22M – $28M (Base Case)

$30M+ (Strategic Case)

8. Valuation by Scenario

Conservative

• Slow adoption

• Limited differentiation

➡️ $12M–$15M

Base Case (Most Likely)

• 400+ shops in 3 years

• Strong retention

➡️ $22M–$28M

Breakout

• National buy-in

• Brand loyalty

• Exclusive supply

➡️ $35M–$50M+

9. Equity Raise Example

Example Seed Round

Raise: $3M
Valuation: $24M pre

Post = $27M
Dilution ≈ 11%

Very founder-friendly.

SAFE / Note Option

Cap: $25M
Discount: 20%
MFN

Attractive to early strategic investors.

10. Strategic Premium (Your Hidden Multiplier)

This model benefits from:

✅ Your existing eGolf Village network
✅ Cross-selling
✅ Data flywheel
✅ Loyalty integration
✅ Member ownership logic

Most startups don’t have this.

That justifies a 20–30% premium over normal apparel startups.

11. Final Valuation Statement

“Based on projected penetration of 600–900 golf shops, gross margins above 35%, and a five-year revenue target of $40M+, the eGolf Village Private Label Apparel Platform supports a pre-revenue enterprise valuation in the range of $22M to $28M, with upside to $35M+ under accelerated adoption.”