Business Valuation Calculator
Last updated: October 15, 2026
Estimate enterprise and equity value using an earnings multiple.
Estimated equity value
—
- Enterprise value: —
- Less debt: —
- Add excess cash: —
On this page
Quick summary: Estimate enterprise and equity value using an earnings multiple.
Read the complete guide
Updated reference sections in this guide are in English.
What this calculator estimates
Estimate enterprise and equity value using an earnings multiple.
How to use it
Enter Annual SDE or EBITDA ($); Valuation multiple; Interest-bearing debt ($); Excess cash added to equity value ($). Select Calculate to update the results.
How the calculation works
Enterprise value equals normalized annual earnings times the selected market multiple. Equity value subtracts interest-bearing debt and adds excess cash.
Worked example: starting scenario
| Annual SDE or EBITDA ($) | 500000 |
|---|---|
| Valuation multiple | 4.5 |
| Interest-bearing debt ($) | 400000 |
| Excess cash added to equity value ($) | 150000 |
| Estimated equity value | $2,000,000.00 |
|---|---|
| Enterprise value | $2,250,000.00 |
| Less debt | $400,000.00 |
| Add excess cash | $150,000.00 |
Important limitations
Real valuations may require normalized statements, working-capital adjustments, asset values, customer concentration, growth, risk and market evidence.