Business Valuation Calculator — Value by DCF, Multiples & Asset-Based

Estimate your small business value using DCF, market multiples (SDE/EBITDA/Revenue), and asset-based methods. Get a weighted range, risk adjustments, charts, and an audit-ready methodology.

Core inputs

Normalized cash flow available to an owner-operator.

Earnings before interest, taxes, depreciation, and amortization.

Last twelve months of sales.

Starting FCF for projecting the DCF.

Market multiples (low, base, high)

DCF & projections

Balance sheet & asset adjustments

Risk discounts

Method weights (must sum to 100%)

How to Use This Calculator

Enter core financials (SDE, EBITDA, revenue, free cash flow) along with net debt and asset details. Adjust the market multiples to reflect low/base/high comparables, then use the DCF inputs for your expected growth, discount rate, and terminal assumptions.

The tool applies sequential risk adjustments for scale, key-person dependency, and marketability. Refresh the weights to emphasize the method you trust the most, keeping the total at 100%. Click "Calculate" or wait for the debounced update to refresh the valuation range.

Methodology

This calculator blends three approaches: market-derived multiples, a five-year DCF that converts enterprise to equity value using net debt, and an asset-based estimate adjusted for obsolescence. Each method respects the same risk adjustments so they can be compared on an apples-to-apples basis.

  • The market method averages SDE, EBITDA, and revenue multiples, then subtracts net debt to arrive at equity value.
  • The DCF projects FCF with scenario growth and WACC ranges, adds a terminal value, and converts to equity by subtracting net debt.
  • The asset approach nets liabilities from assets and applies a salvage adjustment before risk discounts.

Results are shown as low, base, and high scenarios plus a weighted overall estimate that responds directly to your method weight sliders.

Full original guide (expanded)

Why this beats typical tools

  • Triangulates three valuation approaches with explicit weights.
  • Low/Base/High scenarios with risk discounts and net debt handling.
  • Accessible UI (WCAG 2.1 AA), printable summary, and clear formulas.
Ad Placement (300×600)

Related finance tools

Formulas
Audit: Complete
Formula (extracted text) 
Market Multiples: \( \text{Value} = \text{Metric} \times \text{Multiple} \) \(\text{SDE-based Equity Value} = \text{SDE} \times M_{SDE}\) \(\text{EBITDA-based Enterprise Value} = \text{EBITDA} \times M_{EBITDA}\) \(\text{Revenue-based Enterprise Value} = \text{Revenue} \times M_{Rev}\) DCF Enterprise Value: \( EV = \sum_{t=1}^{N} \frac{FCF_t}{(1+WACC)^t} + \frac{FCF_{N+1}}{(WACC - g_\infty)} \cdot \frac{1}{(1+WACC)^N} \) with \( FCF_{t} = FCF_0 \cdot (1+g)^t \) and \( FCF_{N+1} = FCF_N \cdot (1+g_\infty) \). Equity value: \( Equity = EV - (Debt - Cash) \). Risk Adjustments (sequential): \( V_{adj} = V \cdot (1 - d_{size}) \cdot (1 - d_{key}) \cdot (1 - d_{DLOM}) \). Weighted Result: \( V_{weighted} = w_{market} \cdot V_{market} + w_{DCF} \cdot V_{DCF} + w_{asset} \cdot V_{asset} \), with \(\sum w = 1\).
Variables and units
  • P = principal (loan amount) (currency)
  • r = periodic interest rate (annual rate ÷ payments per year) (1)
  • n = total number of payments (years × payments per year) (count)
  • M = periodic payment for principal + interest (currency)
  • T = property tax (annual or monthly depending on input) (currency)
Citations
Sources (authoritative):
Changelog
Version: 0.1.0-draft
Last code update: 2026-01-19
0.1.0-draft · 2026-01-19
  • Initial audit spec draft generated from HTML extraction (review required).
  • Verify formulas match the calculator engine and convert any text-only formulas to LaTeX.
  • Confirm sources are authoritative and relevant to the calculator methodology.
Verified by Ugo Candido · 2026-01-19 Version 0.1.0-draft
Version 1.5.0