Business valuation calculator: test an EBITDA, cash and debt scenario
Explore a simple EBITDA, cash and debt scenario. An educational business valuation calculator, with assumptions and limitations made explicit.
Start with the decision.
We’ll help define the valuation you need.
Build a simple scenario.
Enter your own assumptions. The multiple below is illustrative, not a market recommendation. This tool does not choose a valuation method or assess your business.
Enterprise value
£800,000Equity value before other adjustments
£650,000£200,000 × 4 + £100,000 − £250,000
Excludes working capital adjustments, other debt-like items, fees and tax. Negative results indicate a financing shortfall in this simple calculation; they are not a legal conclusion about share value.
Discuss the evidence behind your numbers ↗What this calculation leaves out
It assumes an enterprise-value multiple is appropriate and that adjusted earnings are reliable. It does not account for share rights, control, sale restrictions, business-specific risks or the quality of comparable evidence. Different cash and debt definitions can change the bridge. A professional valuation requires more than these four inputs.
Use it to ask better questions
Try changing the earnings assumption first. Then consider what evidence would justify the multiple. Discuss whether cash is genuinely surplus, which financing balances are included and whether normal working capital is available. The numbers are a prompt for enquiry, not an asking-price recommendation.
Read the valuation methods guide ↗Question the input before trusting the calculator output
The tool illustrates operating value as earnings multiplied by an assumed multiple, followed by a simplified cash and debt bridge. It does not select a defensible multiple, verify maintainable earnings or interpret share rights. The default is a teaching assumption, not a recommended valuation for your business.
At £200,000 earnings, an arbitrary 4× assumption, £100,000 cash and £250,000 debt, the simplified equity output is £650,000. Changing only the multiple to 3× or 5× gives £450,000 or £850,000. That sensitivity explains arithmetic; it does not establish a supported market range.
Use the valuation methods guide to understand method selection, the rule-of-thumb guide to challenge a shortcut and the report scope page when another party needs a reasoned conclusion.
Let’s put your valuation
in context.
Discuss your requirements ↗WHERE WE CAN HELP
A valuation brief that includes where you operate.
Business and share valuation support is available remotely across England, Scotland, Wales and Northern Ireland.
Whether the business has one location, several sites or online customers, explain the operating footprint when requesting a quote. See what to include in a UK valuation brief.
UK service coverage & your valuation brief ↗