1
Cash Flow — Seller's Discretionary Earnings (SDE)
Enter up to 3 years. Add backs recapture non-cash & owner-specific costs that flow to a buyer.
| Item | Current Year | Prior Year | Two Years Ago |
|---|---|---|---|
| Revenue | |||
| Gross Revenue / Sales | |||
| Cost of Goods Sold (COGS) | |||
| Total Operating Expenses | |||
| Add Backs | |||
| Officer / Owner Compensation | |||
| Depreciation & Amortization | |||
| Interest Expense | |||
| Non-Recurring / Other Expenses | |||
| SDE (Seller's Discretionary Earnings) | — | — | — |
2
Earnings Multiple & Business Profile
Industry, trends, and risk/upside factors shape the multiple applied to your SDE.
What would you pay a professional manager to run this business?
⚠️ Risk Factors — reduce the multiple
✅ Upside / Low-Risk Factors — increase the multiple
3
Purpose & Business Info
Helps us contextualize the estimate. Does not affect the calculation.
Prospect Business Advisors — Indicative Valuation
—
Weighted SDE
—
Seller's Discretionary Earnings
Applied Multiple
—
Earnings × this multiple
Implied Rev. Multiple
—
Est. value ÷ current year revenue
This tool provides an indicative estimate only, using the Multiple of Earnings / SDE method commonly used for small-to-mid-market business valuation. Results do not constitute a formal appraisal, opinion of value, or financial advice. Actual transaction value depends on market conditions, buyer pool, due diligence findings, and deal structure. Consult a licensed business broker or certified valuator for a comprehensive valuation.