Seller Tool

Business Valuation Calculator Australia

Get an indicative valuation range for your Australian business using three industry-standard methods: EBITDA multiple, SDE multiple, and asset-based valuation. Benchmarks are calibrated for the Australian $500K–$5M SMB acquisition market, with adjustments for owner dependency and business age.

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High owner dependency reduces value — buyers price in the cost of replacing you.

How business valuation works in Australia

What multiple do Australian businesses sell at?

Most Australian SMBs in the $500K–$5M range sell at 2×–5× EBITDA, depending on the industry, growth rate, owner dependency, and competitive landscape. Trade services and hospitality typically sell at 2×–3.5× EBITDA, while childcare, IT managed services, and healthcare can achieve 5×–7× due to recurring revenue and high barriers to entry.

What's the difference between SDE and EBITDA valuation?

SDE (Seller's Discretionary Earnings) adds back the owner's salary and personal expenses to EBITDA. It's used for owner-operated businesses where a buyer would replace the owner-manager — typically businesses with under $500K in pre-add-back profit. EBITDA is used when the business has a management team that would continue post-sale.

How does owner dependency affect value?

Buyer's price in the risk of key-person dependency. A business that runs without the owner commands a full multiple; a business where the owner is the product — handling client relationships, technical work, or sales — will be discounted 15–30%. The most impactful thing a seller can do is systematise operations and delegate client relationships before going to market.

Is this a formal business valuation?

No — this tool provides an indicative range based on publicly available industry multiples and generalised assumptions. A formal business valuation for M&A, estate, or legal purposes requires engagement with a qualified business valuator (CPA or CBV-equivalent). ThatDeal can connect you with qualified advisers.

What is ThatDeal?

ThatDeal is an intelligence-enhanced marketplace for Australian business acquisitions. We provide done-for-you broker calls, red/yellow/green flag intelligence reports, and curated weekly deal flow for buyers in the $500K–$5M range. Learn more →