Which financial figures matter?
The primary measure is earnings before interest, taxes, depreciation, and amortization (EBITDA). A detailed valuation reviews nonrecurring and nonoperating items before applying the appropriate sector multiple. A revenue-based valuation provides a comparison when suitable data is available.
The calculator uses the figures you enter. It does not verify or adjust your financial statements.
Why do valuation multiples differ?
Sector and company size determine the starting multiple. The calculation then adjusts for earnings trends, owner dependence, and recurring revenue.
No single characteristic replaces an assessment of the whole business.
How do debt and cash affect the value?
Enterprise value measures the operating business. Accounting for financial debt and cash gives the value attributable to shareholders.
This adjustment changes equity value, not the valuation multiple.
What can the result tell me?
A range reflects the uncertainty inherent in a simplified valuation. It provides a basis for considering the value of your business, but does not replace a formal valuation or due diligence.
The calculator shows your multiple range. The detailed report explains the calculation and presents the resulting value range.
