Business valuation calculator for a clearer starting range
Business valuation calculator results give owners and buyers a starting point for a price discussion. Enter the business details and the earnings measure you use, then review an estimated range with the calculation method explained. Your low end estimate is visible before signup, and the full range opens after you confirm your email.
Your estimated business value
LockedEnter valid financial amounts and select your industry, state and years in business.
Calculation breakdown
Confirm your email to see the full estimated range and calculation breakdown.
This estimate uses your inputs and the calculator's displayed industry multiple ranges, adjusted for size and years in business. It is not an appraisal or a sale price guarantee. BizBuyout provides no manual valuation, brokerage, legal or tax advice.
Enter the details behind your business value estimate
Choose the industry that best describes the operating business. Use annual revenue and earnings from the same reporting period so the calculation reflects a consistent picture. Select the earnings basis before entering the amount, and check the currency and period against your records. State and years in business provide context for the estimate.
- Industry
- Annual revenue (USD)
- Earnings measure
- SDE
- EBITDA
- Annual SDE (USD)
- Annual EBITDA (USD)
- State
- Years in business
Use the SDE or EBITDA toggle to choose the active earnings field. SDE means seller's discretionary earnings and is commonly used to discuss businesses with substantial owner involvement. EBITDA means earnings before interest, taxes, depreciation and amortization and describes a different earnings basis. Do not enter revenue in either earnings field or assume the measures are interchangeable.
Your business valuation result
Your low end estimated value is visible. The midpoint, high end and detailed breakdown are blurred and locked until you confirm your email. These are parts of the same calculated range, rather than separate offers from prospective buyers. The lower bound is an estimate too, so it is not a minimum price that a buyer agrees to pay.
- Low end estimated value
- Midpoint estimate, locked
- High end estimated value, locked
- Calculation breakdown, locked
- Industry multiple range
- Size adjustment
- Years adjustment
Select See full valuation, enter your email and confirm it with the code sent to you. The full range and breakdown are revealed on the result page after confirmation. Confirming your email does not start a paid subscription or authorize a card charge. The calculator is a single estimate experience, not a subscription plan or a paid appraisal service.
How to value a business calculator method
For SDE, the method is SDE multiplied by an industry multiple range, adjusted by size band and years in business. The calculator shows the applicable range rather than treating the same multiple as suitable for every operation. Annual revenue helps place the business in a size band, while years in business inform the operating history adjustment.
If you select EBITDA, the estimate uses the corresponding EBITDA basis and applicable industry range. Switching the toggle changes the earnings basis; it does not turn an SDE amount into EBITDA. Check that the figure you enter matches the selected measure. Multiples depend on industry, size and years in business, and the range used is shown in the calculator.
State records the location context you select. The calculation is an earnings based model, not a local appraisal or a prediction of buyer demand in that state. It does not inspect your books, establish the condition of equipment or confirm that contracts transfer. A model cannot replace the evidence that a buyer reviews during diligence.
Read the estimated range alongside your business records
An estimate becomes more useful when you understand the inputs. Review whether earnings include owner compensation, unusual expenses or adjustments that a buyer could question. Consider how dependent sales are on a particular customer, supplier or individual. Those issues belong in the sale discussion even when the calculator does not measure them directly.
The range is not your net proceeds. Transaction terms can treat debt, cash, inventory, working capital and real estate differently. A proposed purchase price and the amount an owner receives can therefore describe different things. Use the result to organize questions and prepare supporting documents before deciding how to sell a business.
An estimate rather than an appraisal
This result is an estimate, not an appraisal, an offer or a promise of a selling price. BizBuyout is a marketplace portal and provides no brokerage, manual valuation, legal advice or tax advice. The calculation relies on the information you enter. Incorrect earnings, a mismatched industry or incomplete records can make the range unsuitable for your situation.
Compare the result with your financial records and discuss any transaction specific questions with advisers you choose. If you seek representation, research a business broker separately. Keep the calculator assumptions with your sale preparation so another person can understand why a figure changes when you revise an input.
FAQ
Do I pay to reveal the calculator range?
No payment is required to reveal this calculator result. Confirm your email to see the full range and breakdown. That confirmation does not begin a paid subscription.
Can I use the estimate as a formal appraisal?
No. The calculator produces an indicative earnings based estimate from your inputs. It does not inspect the business, verify records or provide a formal appraisal.
Turn your valuation questions into sale preparation
Use the range to identify the records you need to explain your asking price. When you are ready to present the opportunity, the sell my business workflow connects your listing to confidential documents and buyer follow up. Review business listing pricing before choosing a listing subscription.