What is my small business worth?
A free service to help you understand what your business is worth, to you and to a buyer.
Start with a rough range
Our free value estimate gives you a rough range in a few minutes, with no sign-up. It's a starting point, not a final number.
The three common ways to value a business
BDC explains that professional valuators usually use a mix of three methods:
- Earnings. A multiple of yearly earnings, often EBITDA. See EBITDA multiple explained.
- Assets. The value of what the business owns, such as equipment, stock and goodwill.
- Market. What similar businesses have sold for recently.
What buyers look at
- How steady your profits have been over the last few years.
- How much the business depends on you personally.
- Your lease, location and equipment.
- Your customers and staff.
- How clear and complete your records are.
What it's worth to you
Price matters, but so do other things: who takes over, what happens to your staff, and how long you'll stay to help. Write down what matters to you before you talk to buyers.
Getting a firm figure
For a figure you can rely on, ask your accountant or a Chartered Business Valuator. BDC notes that banks tend to use more cautious assumptions when they value a business for a loan.
Common questions
Is the free estimate an appraisal?
No. Our estimate is a rough range based on common rules of thumb. For a firm value, ask your accountant or a qualified business valuator.
What makes a business worth more?
Steady profits, good records, loyal customers who don't rely only on the owner, a transferable lease, trained staff and well-kept equipment usually help.
Should I pay for a professional valuation?
It depends on the size of the sale. BDC notes that for smaller businesses or family sales, an accountant experienced in valuation may give you an adequate sense of worth.
Sources
Ready when you are
Listing is free and takes about 10 minutes. Your details stay private until you choose to share them.