# Startup DCF Valuation Engine AI Agent Connect

> Calculate risk-adjusted startup valuations using Discounted Cash Flow (DCF) modeling.

## Overview
- **Category:** finance
- **Price:** Free
- **Endpoint:** https://edge.vinkius.com/vk_preview_vANvJFTXrJBWXGNfubzCkg5DqmVTbCtVwM8lasqX/ai-agent-connect
- **Tags:** dcf, valuation, finance, startup, npv

## Description

This MCP server provides a specialized financial modeling suite for early-stage company valuation. It implements a rigorous Discounted Cash Flow (DCF) methodology, allowing AI agents to determine the present value of future cash flows. Users can perform fundamental calculations with `calculate_base_valuation`, apply stage-gate risk adjustments using `calculate_risk_adjusted_valuation`, and perform stress testing via `run_sensitivity_analysis`. The suite also includes `get_valuation_summary` to provide a clear comparison between raw and risk-adjusted values, helping investors and founders understand the impact of uncertainty on startup worth.

## Tools

### get_valuation_summary
Provides a high-level report of the valuation process, comparing the raw cash flow value vs the risk-adjusted value

### calculate_base_valuation
Calculates the fundamental NPV and Terminal Value based on projected cash flows and growth assumptions

### calculate_risk_adjusted_valuation
Adjusts the base valuation to reflect the actual likelihood of the startup reaching its projected milestones

### run_sensitivity_analysis
Explores how fluctuations in key assumptions affect the final valuation

## Prompt Examples

**Prompt:** 
```
Calculate the base valuation for a startup with cash flows of [100, 200, 300, 400] and a 25% discount rate and 3% terminal growth.
```

**Response:** 
```
The base valuation with a present value of flows of 542.35 and a terminal value of 1854.21 results in a Net Present Value of 2396.56.
```

**Prompt:** 
```
If the base valuation is 5000000 and the probability of success is 15%, what is the risk-adjusted value?
```

**Response:** 
```
The risk-adjusted value is 750000.00.
```

**Prompt:** 
```
Provide a summary for a base valuation of 1000000 and a risk-adjusted value of 200000.
```

**Response:** 
```
The raw value is 1000000.00, the adjusted value is 200000.00, and the total risk reduction is 800000.00.
```

## Frequently Asked Questions

**How does this tool handle startup risk?**
The tool uses a two-step process. First, it calculates the base NPV. Then, you can use `calculate_risk_adjusted_valuation` to apply a probability of success, which accounts for the likelihood of the startup reaching its milestones.

**Can I test different economic scenarios?**
Yes, you can use `run_sensitivity_analysis` to see how variations in the discount rate or terminal growth rate affect the final valuation.

**What is the difference between the raw value and the adjusted value?**
The raw value is the Net Present Value (NPV) based on projected cash flows. The adjusted value is that NPV multiplied by the probability of success to reflect real-world risk.