Valuation Models for Open Source Companies

Overview

This document provides specialized valuation methodologies for evaluating open source companies, taking into account unique characteristics such as community dynamics, adoption patterns, and monetization models.

Key Valuation Factors

1. Community Metrics

• GitHub stars and growth rate
• Active contributors and diversity
• Community engagement levels
• Developer mindshare indicators

The chart above shows the correlation between GitHub community engagement (stars) and company exit valuations, demonstrating the value of strong open source communities.

2. Adoption Metrics

• Download/installation rates
• Enterprise evaluation pipeline
• Market penetration data
• Geographic distribution

3. Business Model Factors

• Open core monetization potential
• SaaS/Cloud service revenue
• Professional services demand
• Platform ecosystem value

Valuation Framework

Detailed valuation models and calculators are being developed.

Please check back for complete methodologies and tools.