Investor expectations on 5-year IRR?

November 08, 2022
by a searcher in San Diego, CA, USA
I am a self-funded searcher planning to raise equity for a technology service business with an annual EBITDA in the $0.7-1.3M range.
What are the IRR investor expectations assuming an exit after 5 years?
from London Business School in London, UK
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from London Business School in London, UK
What would be interesting to see is if the expectations are adjusted due to inflation/ interest rates. As a conservative investment class, businesses which search funds invest in will now have to growth at probably a faster rate to meet what the criteria of an investor. However i think that point 3 will still hold true, and imaybe that investors derisk their investment by adjusting points 1 and 2 above, coz who wants lower returns right?