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A Refresher on Internal Rate of Return

Harvard Business Review

There are a variety of methods you can use to calculate ROI — net present value , payback, breakeven — and internal rate of return , or IRR. The IRR is the rate at which the project breaks even. If the IRR is higher, it’s a worthwhile investment. Finance & Accounting Article. How is it calculated?

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Three Headwinds for Facebook's IPO

Harvard Business Review

Over the past couple of years, I've become close with a handful of web product managers. For every 10 investments, a good firm may have one defining investment, returning hundreds of percent in IRR. Each of them confirms that what Facebook provides is incredibly valuable in building websites. Venture investors look for home runs.

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