A business valuation calculator estimates market value by applying an earnings multiple from comparable sold businesses to your SDE (seller's discretionary earnings) or EBITDA. The multiple depends on your industry and your size: larger earnings command higher multiples because more buyers can finance and professionally operate the business.
How the calculator works
Industry, revenue, and earnings. No documents needed for the estimate.
The engine selects your industry and size band from sold-transaction data and clamps the multiple to that band.
A low, mid, and high value with the drivers behind each, delivered with a free PDF report.
Below roughly $2,000,000 of earnings the calculator values on SDE, the basis Main Street buyers actually use. Above that it converts to EBITDA with a market general-manager salary and applies EBITDA multiples, the way lower-middle-market buyers underwrite. If your SDE is above $1,000,000, the mid-market section of the size curve applies automatically.
What multiple does a small business sell for?
The size curve from closed-deal data. These are the all-industry SDE bands the calculator starts from before industry adjustment:
| SDE band | Low | Typical | High |
|---|---|---|---|
| Under $500,000 SDE | 2.00x | 2.57x | 3.30x |
| $500,000 to $1,000,000 SDE | 2.57x | 2.80x | 3.30x |
| $1,000,000 to $2,000,000 SDE | 2.80x | 3.00x | 3.30x |
Worked example: a service business with $650,000 of SDE at the typical 2.80x multiple prices around $1,820,000, inside a sold-comp band of roughly $1,670,500 to $2,145,000.
Business valuation multiples by industry
A sample of the verified sold-comp bands the calculator applies (Main Street size band shown). The full reference lives on our valuation multiples by industry page.
| Industry | Basis | Low | Typical | High |
|---|---|---|---|---|
| HVAC services | SDE | 1.90x | 2.90x | 3.30x |
| Plumbing | SDE | 1.68x | 2.47x | 2.97x |
| Electrical contracting | SDE | 1.75x | 2.80x | 3.30x |
| Dental practices | SDE | 1.60x | 3.28x | 3.37x |
| Home health agencies | SDE | 2.20x | 2.84x | 3.60x |
| Home care | SDE | 2.46x | 2.77x | 3.08x |
| E-commerce brands | SDE | 2.60x | 3.30x | 4.00x |
| Amazon FBA | SDE | 2.00x | 2.22x | 2.65x |
| SaaS and software | SDE | 2.40x | 3.40x | 4.00x |
| Manufacturing | SDE | 2.04x | 2.77x | 3.50x |
| Staffing agencies | SDE | 2.04x | 2.93x | 3.22x |
| Lawn care and landscaping | SDE | 1.70x | 2.63x | 3.01x |
Sources: sold-transaction data only. IBBA and M&A Source Market Pulse Q1 2026, BizBuySell sold-comp benchmarks and Insight Report, and the Pepperdine Private Capital Markets Report (accessed July 6, 2026). Asking prices are never used. Dataset v2026.07.0, last refreshed 2026-07-06. Methodology approved by Legend Atty, BridgeBook founder.
Why our range can come in lower than other quotes
A valuation quoted to win your listing is not the same as a valuation your deal can close at. Our multiples are clamped to sold-transaction bands, so the calculator cannot inflate your number. We quote what closes: if the honest range is lower than you hoped, you find out now, in two minutes, instead of nine months into a listing that stalls. And when your business supports the top of the band, the data shows that too.
When you need a defensible number for a real transaction, partner buyout, or planning decision, start with the calculator and then get a professional business valuation built from current comparable sales.
Frequently asked questions
How accurate is a business valuation calculator?
A calculator gives a credible market range, not an appraisal. Ours applies earnings multiples from sold transactions (IBBA Market Pulse closed deals, BizBuySell sold comps, and the Pepperdine Private Capital Markets survey) to your industry and size band, so the range reflects what comparable businesses actually sold for. Buyer-specific factors like customer concentration, owner dependence, and deal structure move the final number, which is why the output is a low, mid, and high range rather than a single figure.
What multiple do small businesses sell for?
Per IBBA Market Pulse closed-deal data, businesses with under $500,000 of SDE typically sell for about 2.0 to 3.3 times SDE, with 2.57 times as the midpoint. The multiple rises with size: 2.8 times typical between $500,000 and $1,000,000 of SDE, and higher through the $1,000,000 to $2,000,000 transition band. Above roughly $2,000,000 of earnings, buyers price on EBITDA instead of SDE and multiples step up again.
Does the calculator use SDE or EBITDA?
Both, chosen by size. Below roughly $2,000,000 of earnings it values on SDE (seller's discretionary earnings), which is how Main Street buyers actually price owner-operated businesses. Above that threshold it converts to EBITDA with a market salary for a general manager and applies EBITDA multiples, matching how lower-middle-market buyers underwrite.
Is the calculator really free?
Yes. The estimate and the PDF valuation report are free. We ask for your email to deliver the report. There is no fee and no obligation: BridgeBook only earns anything if we later represent your sale and it closes.
Why does your estimate come in lower than what a broker quoted me?
Some brokers quote a high valuation to win the listing, then reduce the price after months on the market. Our multiples are clamped to sold-transaction bands, so the calculator cannot flatter you. The range it gives is the range deals like yours actually close in, which is the number worth planning around.
How much can I sell my business for?
Multiply your SDE by your industry and size multiple. A service business with $650,000 of SDE at the typical 2.8 times multiple prices around $1,820,000, with a sold-comp band from roughly $1,670,500 to $2,145,000. The calculator does this against current sold-transaction data for your specific industry and adds the drivers that push you toward the top or bottom of the band.
Industry-specific calculators
Trade and practice multiples differ from the all-industry curve. These calculators apply your industry's own sold-comp band:
Keep going
Know your real number in about two minutes
Free estimate, free PDF report, no obligation. If you decide to sell, you pay nothing unless your business sells.