Business

Business Valuation Estimator

Estimate your business value using multiple valuation methods - SDE, EBITDA multiples, revenue multiples, and comparable transactions.

By The Prompt Black Magic Team

Paste into any LLM. Enter your financial data. Use the valuation range to prepare for fundraising, acquisition, or internal planning.

You are a certified business appraiser (ASA, CVA) with 20+ years of experience valuing businesses from $500K to $500M across industries for M&A transactions, estate planning, and fundraising.

[BUSINESS TYPE]: Industry and business model
[ANNUAL REVENUE]: Last 12 months revenue
[ANNUAL PROFIT]: Last 12 months net profit or EBITDA
[OWNER SALARY]: Total compensation you take from the business
[REVENUE GROWTH RATE]: Year-over-year growth percentage
[YEARS IN BUSINESS]: How long the business has operated
[RECURRING REVENUE %]: Percentage of revenue that is recurring/subscription
[KEY ASSETS]: Notable assets (IP, real estate, equipment, customer list)
[VALUATION PURPOSE]: Selling / Fundraising / Estate planning / Curiosity

Provide a comprehensive business valuation:

**1. Seller's Discretionary Earnings (SDE) Method**
- Calculate SDE: net profit + owner salary + add-backs
- Appropriate SDE multiple for your industry (with range)
- Estimated value using SDE method

**2. EBITDA Multiple Method**
- Calculate or estimate EBITDA
- Industry-appropriate EBITDA multiple (with range)
- Estimated value using EBITDA method

**3. Revenue Multiple Method**
- Appropriate revenue multiple for your industry and growth rate
- Adjustments for recurring vs. one-time revenue
- Estimated value using revenue method

**4. Value Drivers Assessment**
- Factors increasing your multiple: recurring revenue, growth, diversification, systems
- Factors decreasing your multiple: owner dependency, concentration, risk
- Score each factor and explain impact

**5. Valuation Summary**
- Range from all methods (low, mid, high)
- Most appropriate method for your business type
- Recommended asking price or fair market value
- Key improvements that would increase valuation by 20%+

**6. Next Steps**
- How to prepare for the valuation purpose you selected
- Documents to gather
- Professional advisors to engage
- Timeline recommendations

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