Business Valuation Calculator
Quick estimate or full analysis — input your financials, score your value drivers, and model a deal structure waterfall with industry-benchmarked multiples.
Enter your SDE or EBITDA and get an instant range based on industry medians. Good for a quick sanity check.
Business Valuation Calculator
Current Industry: Retail | SDE Multiples: 3.5x - 5.5x
About Business Valuation
SDE Valuation
Seller's Discretionary Earnings (SDE) multiples are the primary valuation method for Main Street businesses, typically under $1M in annual earnings.
Formula: Business Value = SDE × Multiple
Typical multiples: 1.5x to 3.5x depending on industry, growth, and risk factors.
EBITDA Valuation
EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) multiples are used for larger businesses, typically with $1M+ in annual earnings.
Formula: Business Value = EBITDA × Multiple
Typical multiples: 2.5x to 5.0x depending on industry, growth, and risk factors.
Factors Affecting Valuation Multiples
Increases Valuation Multiple
- Recurring revenue (contracts, subscriptions)
- Diversified customer base
- Experienced management team
- Strong growth trajectory
- Proprietary systems or processes
- High barriers to entry
Decreases Valuation Multiple
- Customer concentration risk
- Declining revenue trends
- Owner dependency
- Commoditized services
- High customer churn
- Regulatory or competitive threats
Note: This calculator uses industry median multiples from our database. Your specific valuation may vary significantly based on the unique characteristics of your business. Always consult with qualified business brokers and accountants for professional valuations.