Can agents run this deterministically?

Yes. Supply annual_revenue, revenue_multiple, sde, sde_multiple, ebitda, and ebitda_multiple as JSON to receive per-method ranges and blended valuation deterministically.

Startup Money Math

Business Valuation Calculator

Estimate what your business is worth using revenue, SDE, and EBITDA multiples — with blended valuation range and method comparison.

Estimated Valuation

Blended Estimate (average of methods)

$435,500.00—$560,000.00—$684,500.00

Revenue Multiple (1.5×)

Valuation based on a multiple of annual revenue. Common for high-growth or pre-profit businesses.

$562,500.00—$750,000.00—$937,500.00

SDE Multiple (3×)

Seller's Discretionary Earnings × multiple. Best for owner-operated businesses under $5M revenue.

$360,000.00—$450,000.00—$540,000.00

EBITDA Multiple (4×)

Earnings Before Interest, Taxes, Depreciation, Amortization × multiple. Standard for mid-market businesses.

$384,000.00—$480,000.00—$576,000.00

Method Comparison (Mid Estimate)

Revenue Multiple

$750,000.00

SDE Multiple

$450,000.00

EBITDA Multiple

$480,000.00

⚠️ These are rule-of-thumb estimates using common industry multiples. Actual business value depends on market conditions, buyer pool, growth trajectory, customer concentration, and many other factors. Consult a professional business appraiser for binding valuations.

How to use it

Enter annual revenue with a revenue multiple, SDE with an SDE multiple, and EBITDA with an EBITDA multiple. Revenue multiples tend to matter more for growth-heavy businesses, SDE is common for owner-operated businesses under roughly $5 million in revenue, and EBITDA is the cleaner standard for larger firms.
Read the low, mid, and high value for each method plus the blended range. Large gaps between methods usually mean buyers will focus on quality of earnings, owner dependence, or inconsistent margin performance instead of accepting the most generous headline.
Treat the blended mid-range as a negotiation anchor, not a guaranteed sale price. If revenue-based value is far above SDE or EBITDA value, the market is likely to discount the story unless recurring revenue, margins, and risk profile genuinely support the higher multiple.
Use the range to prepare for a sale, partner buyout, or capital raise. If you want a better multiple, focus on recurring revenue mix, customer concentration, clean add-backs, and margin consistency before arguing the price itself.
Re-run after meaningful growth, margin expansion, or customer-risk changes, and at least quarterly during sale prep. Track value using both improved financials and stable multiples so you can separate operational progress from market mood.

AI Integrations

Contract, discovery endpoints, and developer notes for agent use.

Always available for agents

Tool contract JSON

https://aibizhub.io/contracts/business-valuation-calculator.json

Stable input and output contract for this exact tool.

Human review

People can use the browser page to sense-check outputs and charts, but agents should still execute against the contract and discovery endpoints.

/agent-tools.json - machine-readable tool index.
/llms.txt - human-readable model discovery guide.
/.well-known/webmcp.json - WebMCP capabilities manifest.
/.well-known/ai-plugin.json - plugin-style discovery manifest.

{
  "tool": "business_valuation",
  "annual_revenue": 500000,
  "revenue_multiple": 1.5,
  "sde": 150000,
  "sde_multiple": 3,
  "ebitda": 120000,
  "ebitda_multiple": 4
}

Open tool contract JSON Open AI integrations guide

Expand developer notes

Agent playbook

Resolve Business Valuation Calculator from /agent-tools.json and open its contract before execution.
Validate inputs against the contract schema instead of scraping labels from the page UI.
Open the browser page only when a person wants to review charts, assumptions, or related tools.

Agent FAQ

Should ChatGPT, Claude, or another agent click through the UI?

No. Start with /agent-tools.json, then follow the tool's contract URL. The page UI is for human review, not parameter discovery.

When do tools show Quick and Advanced?

Every tool opens in Quick Start first. Advanced Controls keeps the same scenario, reveals more assumptions or diagnostics, and every tool keeps AI integrations inline below the instructions.

When should an agent still open the browser page?

Open it when a human wants to sense-check the output, review the chart, or keep exploring related tools after the calculation finishes.

Questions people usually ask

What are the three valuation methods?

Revenue Multiple values your business as a multiple of annual revenue. SDE Multiple uses owner earnings (common for sub-$5M businesses). EBITDA Multiple is the mid-market standard for larger businesses.

How do I choose the right multiple?

Multiples vary by industry, growth rate, and profitability. SaaS businesses may see 5-10× revenue multiples while service businesses see 0.5-1.5×. Research comparable recent sales in your industry.

What is SDE (Seller's Discretionary Earnings)?

SDE = net income + owner salary + owner perks + one-time expenses + depreciation. It represents total economic benefit to a working owner.

Why does the blended estimate average all methods?

Using multiple methods reduces the risk of one metric distorting the picture. The blended range gives a more robust estimate than any single method alone.

Is this tool free and private to use?

Yes. AI Biz Hub tools are free, no-signup browser tools. Inputs stay in your browser unless you choose to share a URL.

Related Resources

Learn the decision before you act

Every link here is tied directly to Business Valuation Calculator. Use the explanation, formula, examples, and benchmarks to pressure-test the calculator output from first principles.

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