Univrsity Of Tehran Press Financial Research Journal 1024-8153 24 3 2022 09 23 Proposing a Process Model for Valuation of the Fintech start-ups in the Early Stages of Investment from the Perspective of Venture Capitalists in Iran Proposing a Process Model for Valuation of the Fintech start-ups in the Early Stages of Investment from the Perspective of Venture Capitalists in Iran 391 409 89451 10.22059/frj.2022.324665.1007192 FA Vahid Chizari Ph.D. Candidate, Department of Entrepreneurship, Faculty of Management and Economics, Science and Research Branch, Islamic Azad University, Tehran, Iran. Ayoub Mohammadian Assistant Prof., Department of IT Management, Faculty of Management University of Tehran, Tehran, Iran. 0000-0002-8370-9538 Maryam Khalili Araghi Assistant Prof., Department of Business Management, Faculty of Management and Economics, Science and Research Branch, Islamic Azad University, Tehran, Iran. 0000-0001-5016-2997 Hamideh Reshadatjoo Associate Prof., Department of Higher Education Management, Faculty of Management and Economics, Science and Research Branch, Islamic Azad University, Tehran, Iran. Journal Article 2021 06 15 Objective: The purpose of this paper is to determine the effective factors influencing the value of FinTech start-ups from the perspective of venture capitalists in the field of financial technology in the early stage of their life cycle.Methods: This research is qualitative that uses the Grounded theory method. In this study, by interviewing 19 venture capitalists active in the field of financial technology, 46 final codes were extracted via open coding. In the next step, through axial coding, a paradigm model was presented for the main value of the start-up FinTech company.Results: This study showed that the value of FinTech start-ups is majorly influenced by the intervening factors related to their main buyers, i.e. banks and financial institutions because the benefits of buying fintech companies are strategic for banks and financial institutions and can create a competitive advantage for them compared to other banks and financial institutions. In addition, it was found that underlying conditions such as investor exit routes, the need for reinvestment, and the consequences of their merger and acquisition also affect the value of FinTech start-ups.Conclusion: The value of FinTech start-ups is more affected by the intervention of their buyers than other technology start-ups, because the benefits of buying FinTech companies are strategic for banks and financial institutions, and it can give them a competitive advantage over other banks. Objective: The purpose of this paper is to determine the effective factors influencing the value of FinTech start-ups from the perspective of venture capitalists in the field of financial technology in the early stage of their life cycle.Methods: This research is qualitative that uses the Grounded theory method. In this study, by interviewing 19 venture capitalists active in the field of financial technology, 46 final codes were extracted via open coding. In the next step, through axial coding, a paradigm model was presented for the main value of the start-up FinTech company.Results: This study showed that the value of FinTech start-ups is majorly influenced by the intervening factors related to their main buyers, i.e. banks and financial institutions because the benefits of buying fintech companies are strategic for banks and financial institutions and can create a competitive advantage for them compared to other banks and financial institutions. In addition, it was found that underlying conditions such as investor exit routes, the need for reinvestment, and the consequences of their merger and acquisition also affect the value of FinTech start-ups.Conclusion: The value of FinTech start-ups is more affected by the intervention of their buyers than other technology start-ups, because the benefits of buying FinTech companies are strategic for banks and financial institutions, and it can give them a competitive advantage over other banks. https://jfr.ut.ac.ir/article_89451_c71607020456e20d9cbb586562a09177.pdf