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That could make it easily worth its huge valuation.
Salesforce may be a great business, but that's a huge valuation.
Accept the new, reduced price, or walk away from the deal and find yourself liable for huge valuation fees.
The I.P.O. last week will exacerbate this tension: Facebook's huge valuation now puts pressure on the company's strategists to increase its revenue-per-user.
Matthew Campbell, chief business correspondent at Bloomberg, said: "Henry Blodget selling a startup at a huge valuation has a certain...poetic justice, perhaps?
The first is to warn the US to avoid policies that would lead to a crash of the dollar, and so inflict huge valuation losses on the dollar component – estimated at $1.2 trillionn – of China's foreign exchange reserves.
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Entrepreneurs can turn their ideas into firms with huge valuations and hardly any staff.
Last month's sell-off brutalized the money-losing companies that soared to huge valuations in 1999 and early 2000 as investors threw aside traditional valuation measures.
Many new firms were able to win huge valuations as public companies, even though they generated very little or no profit whatsoever.
That startups are staying private longer, on average, and that some are reaching huge valuations may also mean that startups are attracting more government attention and scrutiny than in the past.
Although their share prices have fallen of late, plenty of Internet companies have achieved huge valuations based on tiny staff, minuscule sales and no profits, the inverse of the steel industry's experience.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com