Horns Of Plenty: Unicorns, Narwhals & The Changing Company Valuation Landscape

The term unicorn to describe a private technology company with a valuation of more than $1 billion has become a common currency since it was first coined by Aileen Lee, founder of Cowboy Ventures. Unicorns have even become a symbol of national achievement with politicians [Rishi Sunak] vowing to transform the UK from a United Kingdom to a Unicorn Kingdom in 2023. There has been a surge in the number of unicorns over the past decade with valuations pumped by more than a decade of cheap money. But recent geopolitical crises and rising inflation and interest rates have exposed the rampant overvaluation of some unicorns. The collective noun for unicorns is a blessing: now many investors might consider them a curse. Frontier IP Chief Executive Officer Neil Crabb outlines the perils to investors of ignoring fundamental valuation metrics and explains the company’s approach to building companies, the factors needed to achieve outstanding success and what narwhals can teach us that unicorns can’t.