How does this business valuation calculator work?

It follows the sequence an adviser would: normalise earnings to a maintainable EBITDA, take the indicative multiple range for your sector, adjust the midpoint for scale and eleven weighted risk factors, then show what shareholders would receive after surplus cash and debt.

What is maintainable EBITDA?

Earnings before interest, tax, depreciation and amortisation, adjusted to reflect what the business would sustainably earn under new ownership. That usually means adding back owner remuneration above a market salary and removing genuine one-off items.

Why is the value of the business different from what I receive?

Applying a multiple gives the value of the trading business before financing. Shareholders receive that figure plus any surplus cash in the company, less debt including hire purchase and lease obligations.

Is the figure the calculator produces a valuation?

No. It is a guide based on figures you have entered and not verified. Establishing what a company is genuinely worth requires examining the business as a whole, including statutory and management accounts, contracts, working capital, tax position and the purpose the valuation is for.

How long does the calculator take?

Around four minutes. It is arranged in five short stages so you can change answers, and the valuation updates as you go.

Business Valuation Calculator | What Is My Business Worth? | Pulse Accountants

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Five stages · about four minutes

What is your business actually worth?

Q: Do I need my accounts to hand?

Approximate figures are sufficient for a guide. If reported EBITDA is left at zero it is estimated from turnover on a sector margin, which is labelled in the output.

You built it. That does not mean you will be paid for it.

Most owners decide to sell and only then discover the business was never prepared for it. At that point there are two outcomes: you are told the sale is years away, or you accept a price you never planned on.

This shows you where you stand now, while there is still time to do something about it.

Start the valuation → Talk to a real accountant

Stage 1 of 5 · Company profile 20% complete

Company profile

Five short stages. Your valuation updates as you answer.

Sector

Annual turnover £ Years trading yrs Employees, including you

Normalising earnings

Reported profit is rarely the figure a buyer works from.

Reported EBITDA £ Owner remuneration add-back £ Exceptional items to strip out £

Profit growth, three-year average % Gross margin %

Quality of revenue

Two companies reporting identical earnings are rarely worth the same.

Recurring or contracted revenue % Largest customer, share of revenue % Top five customers, share of revenue % Annual customer retention %

Contractual position with customers

Largely informal — purchase orders and goodwill Written terms with key accounts, not all signed or current Signed, current contracts with assignment or change-of-control provisions

Operations and governance

Whether the earnings survive your departure.

Owner dependency

Client relationships, pricing and delivery decisions sit with me Trading would continue, but growth and key decisions would stall The business operates independently of me week to week I hold a non-executive position only

Depth of management

No established management layer Managers in place, with gaps in one or more key functions Complete team, contractually incentivised to remain post-completion

Quality of financial information

Statutory accounts only, prepared well after year end Bookkeeping current, limited management reporting Monthly management accounts, KPI reporting and documented processes

Key person risk beyond the owner

One or two individuals hold critical knowledge or relationships Some concentration, partially mitigated by cover Knowledge documented, responsibilities properly distributed

What you would actually receive

The company's financing position at completion.

Cash surplus to the business £ Debt, including HP and leases £

Intended exit timeframe

What is holding the figure back

Your figure is above. Add your email address and we will send a Pulse-branded one-page summary you can keep, naming the areas suppressing it.

Your name Work email Company name Send me the summary and occasional exit planning guidance. Unsubscribe at any time. Your figures remain with us and are not shared. We will not call unless you ask us to.

Summary ready

Your summary is ready

Download it now, or spend thirty minutes with an adviser going through what would move the figure most.

Book an exit readiness conversation

The summary opens in your browser's print dialogue — choose "Save as PDF". If nothing opens, allow pop-ups for this site.

Indicative value to shareholders

—

Updates as you answer

Value not yet realised

—

The same earnings, valued as a buyer would value a fully prepared business. Your answers point to several areas suppressing the figure.

Send me my summary →

Happy with that figure — or did you expect more?

Either answer is worth a conversation. We will take you through what is driving your number, and what it would take to close the gap. That work is ours to do — not yours.

Find out how we close the gap →

Or call 01325 522123 and ask for Matthew.

Basis and limitations
This is a guide only. To understand what your company is genuinely worth, we would need to examine the business as a whole — statutory and management accounts, the composition and durability of earnings, contracts, working capital, tax position, shareholdings and the purpose the valuation is being prepared for. Figures entered here are unverified and the output is not a formal valuation, nor advice on a specific transaction.

Questions

Using the calculator

Is this a valuation?

No. It is an indication, and we would rather be clear about that than imply otherwise. Establishing what a company is genuinely worth requires us to examine the business as a whole — statutory and management accounts, the composition and durability of earnings, contracts, working capital, tax position, shareholdings and the purpose the valuation is being prepared for. That is our business valuation service.

Why is my figure lower than I expected?

Almost always because of how the earnings are constituted rather than how large they are. Two companies reporting identical profit routinely command materially different prices. Which factors are suppressing your figure, and in what order to address them, is the conversation to have with us — get in touch and we will take you through it.

Can the figure be improved?

In most cases, considerably — but not quickly, and not by adjusting one thing. The work sits across earnings quality, operational independence, contractual position and structure, and it needs to be in place well before a buyer is at the table. That is precisely what our exit planning engagements are for.

Do I need my accounts to hand?

Approximate figures are sufficient for an indication. The closer your inputs, the more useful the result.

What happens after I request the summary?

You receive a one-page PDF with your indicative figure and the value not yet realised. If you would like to understand the reasoning behind it, arrange a conversation and an adviser will go through it with you properly.

A word from Matthew

Matthew McConnell

Founder, Pulse Accountants & Tax Advisers Limited

"Planning for being exit ready is something every business owner should do, from as early on as possible. It is the final pillar in our five core offerings.

Our core purpose is to work only with ambitious business owners, to help them achieve their ambitions. We do that by working with the best partners, with a clear focus.

We do a great deal more than tax returns and accounts. That is the boring stuff."

You worked hard for this business. Get paid what it is worth.

A figure is a starting point. Closing the gap between it and what a buyer will pay takes structure, reporting and management put in place years before anyone makes an offer.

Book an exit readiness conversation → Exit planning

Where the real work picks up