Investment banks play a key role in the financial services industry, particularly concerning mergers
account market developments, competitive landscapes, and potential synergies between the target company or acquirer.
Valuation: Due to its growth potential and often untested business tactics, it is very challenging to estimate the value of a VC-backed company. Investment banking utilizes a collection of financial models as well as market data with which to estimate fair value; the process helps startups bargain for favorable terms.