What's My Business Worth?
Start with last year's numbers. We work out what the business really earns for you in a year, once your own pay and one-off costs are added back. A few questions about risk then move the number a buyer would multiply that by.
That yearly figure has an industry name, SDE (seller's discretionary earnings). Wherever it appears below, it means the money the business puts in your pocket in a year, before tax.
Use numbers from your most recent full fiscal year. Enter 0 for any field that doesn't apply. All figures are annual amounts in dollars.
Your bottom-line profit from the most recent full year.
What you pay yourself (added back because it’s discretionary to a new owner).
Interest paid on business loans (added back as it’s financing-specific).
Income taxes paid by the business (added back to show pre-tax earnings).
Non-cash depreciation expense (added back).
Non-cash amortization expense (added back).
Personal benefits paid through the business.
Travel, meals, entertainment that are personal in nature.
Lawsuit settlements, emergency repairs, relocation, etc.
Any other expenses a new owner would not incur.
What the business earns for you so far this year:
$0