goodcalcs
Business & Self-Employed · United States

Business Valuation Calculator

Updated on 22 Oct 2026 · Checked by Aotob

Your business could be worth about $800,000.

Three methods give $600,000 to $1,282,764.

Typical 0.5 to 2; higher for software

Higher for riskier businesses: 15% to 30% for small firms

Middle valuation

$800,000

Earnings × 3$600,000
Revenue × 0.8$800,000
Discounted cash flow$1,282,764
Range$600,000 to $1,282,764

Small businesses usually sell for 2 to 4 times owner’s profit (SDE); larger ones on an EBITDA multiple of 4 to 8. Buyers pay more for growth, recurring revenue and a business that runs without the owner.

Show the working

200,000 × 3 = 600,000
1,000,000 × 0.8 = 800,000
5 years at 5% growth, discounted at 20%, plus a terminal value = 1,282,764

What people ask next

By earnings multiple

MultipleValue
1.5×300,000
2×400,000
2.5×500,000
3×600,000
4×800,000
5×1,000,000
6×1,200,000

Questions people ask

How are small businesses valued?

Most sell on a multiple of seller’s discretionary earnings (SDE), usually 2 to 4 times. Larger companies use EBITDA multiples of 4 to 8 or more.

What raises the multiple?

Steady growth, recurring revenue, many customers rather than a few, documented processes and a business that runs without the owner.

Is this what I’ll get?

It’s a starting point. A broker or valuer will look at your accounts, assets, debts and the market for similar sales.

Updated 22 Oct 2026Source: National averages and published fee tables, checked October 2026Checked by AotobRule-of-thumb methods, not a formal valuation.Report an issue