π°What Is My Business Worth?
7x EBITDA? π
It depends on many factors :
π Sub-Industry - recurring revenue industries like Tech, Software, Defense trade at high multiple of EBITDA (8-14x+) and sometimes Sales. Non-recurring or low-margin businesses like construction can trade at 1.5-4x EBITDA.
π Size - sub $1MM EBITDA company businesses can trade to 1.5-4x net cash flow. Multiple normally grow as EBITDA grows. PE platforms can pay 8-14x+ for great businesses at $2-5MM EBITDA.
πͺ Durability - like sub-industry, higher recurring revenue companies and those with proprietary technology or high barriers to entry like Healthcare & Defense, will trade at higher multiples.
Want us to value or sell your business?
We have spent the last 20 years analyzing companies, industries and valuing businesses.
We want to understand your goals, timeline and what the ideal outcome looks like for you.
We then take a deep dive on your business and industry to understand your company and determine a valuation range.
Then we develop a plan, financial model and investment memo to confidentially share with a target group of investors.
Typically we can get 100-200 well-funded buyers to sign NDA and take a deeper look.
We will target 5-10 offers for your company, so you can choose the best partner.
Call or Email - Matt@HillandaleAdvisors.com | 704-574-5659
Hillandale Advisors | Private Business Roundtable π₯| Axial