Calculate the value of your business in Sydney using the same four methods a certified valuer applies, with the arithmetic shown rather than hidden.
This business valuation calculator estimates the value of a Sydney business using capitalisation of earnings, discounted cash flow, a market multiple or adjusted net assets. You enter a low and a high rate, so it returns a range rather than a single figure. It is an educational tool, not a valuation.
Pick a method, enter your figures, and the range updates as you type. Nothing is sent anywhere and there is no email gate on the result.
Your figures
Figures are illustrative defaults. Replace them with your own. Enter a low and a high rate so the result comes back as a range.
Reported profit reflects how the business is run for you. Normalisation restates it to what a buyer would see. Enter adjustments as positive numbers to add back, or negative to deduct.
Step 2. Capitalisation rate
Step 2. Earnings multiple
Capitalisation rates and multiples produce enterprise value. Deduct debt and add surplus assets to reach the equity value an owner actually receives.
Enterprise value range
This calculator performs arithmetic on the figures you enter. It does not examine your financial statements, test whether your earnings are sustainable, select comparable transactions, or apply discounts for lack of control or lack of marketability. It is a general educational tool and not financial, legal or valuation advice, and it should not be relied on for a transaction, a court matter or a tax position.
Where you need an opinion someone will rely on, we prepare three report types. An Indicative valuation is for internal decision-making and is not written for third party reliance. A Summary report sets out the approaches applied and the reasoning behind them. A Detailed report applies and reconciles all relevant approaches in full, for review by a court, the ATO, a lender or another expert.
Divides one sustainable earnings figure by a capitalisation rate. Suits an established business whose earnings are steady enough that a single year fairly represents the future.
Income approachForecasts cash flow year by year and discounts each year to present value. Suits a business whose trajectory is changing, such as one opening a site or facing a contract expiry.
Income approachMultiplies maintainable earnings by a multiple drawn from comparable sales. Only as reliable as the transactions behind it, which is the part a calculator cannot supply.
Market approachRestates assets to market value and deducts liabilities. Leads for plant-heavy businesses and sets the floor in every other valuation.
Asset approachThe arithmetic in a valuation is the easy part. What decides the number is judgement: whether reported earnings are sustainable, which comparable transactions genuinely resemble your business, how much of the goodwill is personal and walks out with you, how secure the lease is, and how concentrated the customer base is. None of that can be typed into a form.
The capitalisation rate is the clearest example. In a real engagement it is built up in layers: a risk-free rate taken from long-dated Australian Government bond yields, an equity risk premium, a size premium, an industry risk premium, and a company-specific loading. Here, you supply it. If the rate you choose is wrong, the output is wrong by exactly that much, however precise it looks.
That is also why brokers' rules of thumb, such as a flat multiple of revenue or of gross fees, are a cross-check and never a method. They ignore profitability and risk, which are the two drivers that vary most between businesses of the same size in the same industry.