Business Valuation Calculator

Earnings-based valuation: We multiply your annual net profit by an industry-specific multiple, adjusted for whether the business is growing, stable, or declining. Declining businesses sit at the bottom of the sector range, stable businesses at the midpoint, and growing businesses at the upper quartile - not the maximum.

Net asset value: Total assets minus total liabilities. This represents the book value of the business - what it owns minus what it owes.

Combined valuation: We use the higher of the two approaches as the primary indicator. For most service businesses, earnings drive the valuation. For asset-heavy businesses (property, manufacturing), net assets may be more relevant.

Why "net profit before personal adjustments"? Many business owners mix personal expenses through the business, underpay themselves, or have one-off costs that distort the true earnings. A formal valuation adjusts for these - this calculator uses your reported figures as a starting point.

This is an indicative estimate only. A qualified business valuer or broker will consider many additional factors specific to your business.