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Business Valuation Readiness Planner

Estimate a main-street business value using seller discretionary earnings, multiple range, owner replacement salary, working-capital adjustment, debt capacity, seller note, and buyer cash-at-close assumptions.

Quick answer: Estimate a main-street business value using seller discretionary earnings, multiple range, owner replacement salary, working-capital adjustment, debt capacity, seller note, and buyer cash-at-close assumptions. Enter revenue, net profit, add-backs, and buyer salary to personalize the estimate. It returns SDE, valuation range, and working-capital adjusted value so you can compare the impact before choosing a next step. Use it to compare payment, APR, total cost, credit impact, and lender or card tradeoffs.

Seller Discretionary Earnings
$235,000
Seller Discretionary Earnings
$235,000
Buyer Cash Flow Before Debt
$155,000
Low Enterprise Value
$517,000
High Enterprise Value
$799,000
Working-Capital Adjusted Value
$748,000
Value-to-Revenue Ratio
1
Seller Note Amount
$74,800
Buyer Down Payment
$112,200
Acquisition Debt Needed
$561,000
Estimated Monthly Acquisition Debt Payment
$7,414
Annual Debt Service
$88,964
Buyer DSCR
2
Lenderable Debt Capacity at 1.25x DSCR
$124,000
Annual Debt-Service Gap
$0
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This business models at $748,000 after working-capital adjustments, with a buyer DSCR of 1.74.

Business valuation planFinancing supports price
Seller earnings
$235,000
Adjusted value
$748,000
Buyer DSCR
1.74
Debt-service gap
$0
Next best move

Prepare normalized financials, add-back documentation, working-capital schedule, and lender package.

Valuation range

Low case is $517,000; target is $658,000; high case is $799,000.

Deal structure

Seller note is $74,800; buyer down payment is $112,200; acquisition debt is $561,000.

Lenderability check

Buyer cash flow before debt is $155,000; monthly debt payment is $7,414; value is 0.94x revenue.

What to do next

Compare business loan rates ->

Your action plan
  1. 1

    Normalize seller earnings

    Separate defensible add-backs from expenses a buyer must keep paying.

  2. 2

    Check buyer debt capacity

    Use DSCR to test whether financing supports the target price.

  3. 3

    Prepare sale materials

    Document working capital, inventory, customer concentration, and recurring revenue before listing.

Compare business loan rates

This is an educational estimate, not tax, legal, investment, or lending advice. Tax rules, rates, and eligibility change and depend on your full situation. Confirm with a qualified professional or the provider before acting.

Calculator action path

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Reviewed Aug 9, 2026 · Methodology

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Frequently Asked Questions

Everything you need to know.

What does the Business Valuation Readiness Planner show?
Estimate a main-street business value using seller discretionary earnings, multiple range, owner replacement salary, working-capital adjustment, debt capacity, seller note, and buyer cash-at-close assumptions.
How should I use the result?
Use the result as a planning and comparison aid. Review the assumptions, adjust your inputs, and compare the output with your actual options before acting.
What should I do after using this calculator?
Use the related links and next-action modules on the page to compare products, continue in Money Map, or review related guidance on SwitchWize.
Is the Business Valuation Readiness Planner free to use?
Yes. SwitchWize calculators are free, and you do not need an account to run scenarios or view the result.
Does using the Business Valuation Readiness Planner affect my credit score?
No. Using a calculator does not trigger a credit check. A credit impact can occur only if you apply directly with a lender, card issuer, or provider.
Are the results personalized financial advice?
No. Calculator outputs are educational estimates based on the inputs you enter. Review assumptions and confirm terms directly with providers before making a financial decision.
What should I do after seeing the result?
Use the recommendation module on this page to compare business loan rates ->, or run Money Map to compare this loans & credit decision with your other opportunities.
How does SwitchWize choose related offers?
Related offers are matched by the calculator surface (loans) and ranked using SwitchWize data such as rate, fees, trust signals, product fit, and switching friction. Paid relationships do not change organic ranking order.
How fresh are the rates and offers shown?
Rate and offer data is reviewed on a recurring cadence and every offer module shows review context or links to the methodology and disclosure pages.
Where can I see the ranking methodology?
The SwitchWize methodology page explains how rate freshness, editorial review, affiliate disclosure, and category ranking factors work.
Can Money Map use this result?
Yes. Money Map is the broader diagnostic path: it compares savings, mortgage, cards, and debt so you can see whether this calculator result is your highest-impact next move.

Why This Matters

Business Valuation Readiness Planner helps users make a loans & credit decision with clearer numbers, assumptions, and next actions.

How to Use It

  1. 1Enter your numbers in the input panel.
  2. 2Review the live results and interpretation on the right.
  3. 3Use the diagnostic outputs to compare options or plan the next step.
  4. 4Use the related links below if you want to move from analysis to action.
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