Free Business Valuation Tool | Simple Business Worth Calculator

Free Business Valuation Tool

Get a quick estimate of your business value in just a few steps. Enter your business details below to receive a simple valuation report.

Business Details

Tell us about your business

Financial Information

Enter your basic financial details

$
Last 12 months or most recent fiscal year
$
Profit after expenses but before taxes
%
Average annual revenue growth rate

Understanding Business Valuation

Business valuation helps you understand what your business is worth. This is important when you’re thinking about selling your business, bringing in investors, or planning for the future.

Get Your Free Business Valuation

Use our simple calculator above to get a quick estimate of your business value. Just enter a few details about your business to see what it might be worth.

Why Business Valuation Matters

Knowing your business value is important for:

  • Selling Your Business – Know what price to ask for
  • Getting Investors – Show potential investors what your business is worth
  • Planning for the Future – Make better decisions about growth
  • Estate Planning – Prepare for succession and taxes
  • Partner Buyouts – Ensure fair terms when partners join or leave

How Businesses Are Valued

1. Revenue Multiple Method

This simple method multiplies your annual revenue by an industry-specific number (usually between 0.5 and 3). For example, if your business makes $500,000 per year and your industry uses a 1x multiple, your business might be worth around $500,000.

2. Profit Multiple Method

This method multiplies your annual profit by a number (typically between 3 and 6). For example, if your business has $100,000 in annual profit and your industry uses a 4x multiple, your business might be worth around $400,000.

Factors That Increase Business Value

Want to make your business worth more? Focus on these areas:

  • Consistent Growth – Steady increases in revenue and profit
  • Diverse Customer Base – Not relying on just a few customers
  • Recurring Revenue – Regular, predictable income
  • Good Systems – The business can run without you
  • Strong Brand – Recognition and reputation in your market
  • Documented Processes – Clear instructions for how things work

Frequently Asked Questions

How accurate is this business valuation calculator?
This calculator provides a simplified estimate based on industry averages and the information you provide. It’s a good starting point, but many factors affect business value. For important decisions like selling your business, we recommend getting a professional valuation.
What’s the difference between revenue and profit multiples?
Revenue multiples are based on your total sales before expenses, while profit multiples are based on what’s left after expenses. Profit multiples are usually higher numbers (like 3-6x) while revenue multiples are lower (like 0.5-3x). Both methods can give similar final values.
How can I increase my business value?
Focus on increasing profits, creating stable and recurring revenue, reducing dependency on you as the owner, diversifying your customer base, documenting your processes, and building a strong brand. Even small improvements in these areas can significantly increase your business value.
When should I get a professional business valuation?
Consider getting a professional valuation when you’re planning to sell your business, seeking significant investment, dealing with partner disputes or buyouts, for tax purposes, or during legal proceedings like divorce. A professional can provide a more accurate and defensible valuation.

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