Business Finance

Business Valuation Calculator - Free Company Worth Estimator

Calculate your business value using 5 professional valuation methods including DCF, revenue multiples, earnings multiples, asset-based valuation, and market comparables. Get instant business appraisal and company worth estimation.

Income-Based Metrics
$1,000,000
$150,000
Profit Margin: 15.0%Good
15%
3x

SaaS: 5-10x • E-commerce: 2-4x • Services: 1-3x • Manufacturing: 3-6x

Asset & Market Inputs
$500,000
$150,000

Book Value: $350,000

$100,000
$2,500,000
70%
Your Business Valuation

Average Valuation

$1.72M

Based on 5 methods

Valuation Range

$0.45M - $3.00M

Min to Max

Revenue Multiple

1.72x

Value to Revenue

Valuation Method Comparison

Professional valuations use multiple methods to triangulate accurate business worth

Revenue Multiple Method

3x

$3.00M

Standard method using industry-specific multiples applied to annual revenue

Earnings Multiple (EBITDA)

4x

$0.60M

Preferred by private equity, applies multiple to earnings before interest, taxes, depreciation

Discounted Cash Flow (DCF)

5yr

$2.04M

Projects future cash flows and discounts to present value - accounts for growth rate

Asset-Based Valuation

Book+IP

$0.45M

Net book value plus intangible assets like intellectual property and brand value

Business Health Analysis

Key metrics affecting valuation across different dimensions

Revenue

20

Profit %

15.0%

Growth

15%

Assets

$350k

Market Pos

70%

Valuation Insights & Recommendations

Next Steps for Maximum Value

  • Document recurring revenue streams - they command 2-3x higher multiples
  • Build systems and processes to reduce owner dependency
  • Clean up financial statements and ensure tax compliance
  • Establish competitive moats (IP, contracts, brand recognition)
  • Consider professional valuation for transactions over $1M
Get Your Personalized Analysis
Access detailed insights and recommendations based on your inputs

Get expert guidance tailored to your financial goals

Understanding the Concept

Business valuation determines the economic value of a company using multiple proven methods. Professional valuations consider revenue multiples, earnings (EBITDA), discounted cash flow (DCF), asset values, and market comparables to provide a comprehensive range.

Tips to Optimize

  • •Use multiple valuation methods for accuracy - no single method tells the whole story
  • •Industry multiples vary significantly - tech companies often command higher multiples than retail
  • •Recurring revenue businesses typically have higher valuations than project-based businesses
  • •Clean financial records and strong growth significantly increase business value
  • •Consider getting a professional business appraisal for transactions over $1M

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