• Home
    • About SYB4M
    • Eric Gilboord
    • WarrenBDC
  • SYB4M Roadmap App
    • Payment
  • Are You Ready?
    • Exit Assessment
    • EBITDA CalcTrac
    • Shark Tank Quiz
  • Podcast & Blog
    • SYB4M Podcast
    • SYB4M Blog
  • Contact Us
SELL YOUR BUSINESS 4 MILLIONS
  • Home
    • About SYB4M
    • Eric Gilboord
    • WarrenBDC
  • SYB4M Roadmap App
    • Payment
  • Are You Ready?
    • Exit Assessment
    • EBITDA CalcTrac
    • Shark Tank Quiz
  • Podcast & Blog
    • SYB4M Podcast
    • SYB4M Blog
  • Contact Us
EBITDA CalcTrac v11 — SYB4M
SYB4M
syb4m.com ← Roadmap App
Your data has been saved to this browser.
Sell Your Business 4 Millions

Your EBITDA Calculator & Business Value Tracker

Find out what your business actually earns — and what a buyer might pay for it. No financial degree required.

Why does EBITDA matter when selling?

When a buyer looks at your business, they don't just look at your revenue. They look at what your business actually earns after paying its bills — before accounting adjustments. That number is called EBITDA. Buyers multiply it by an industry number (called a "multiple") to arrive at what they'll offer you. The higher and more consistent your EBITDA, the more your business is worth.

Before you start: Use your most recent full year of financials — your tax return or year-end statements are the best source. All numbers should be from the same 12-month period. Not sure about a number? Call your accountant before entering it. A wrong number here gives you a wrong result.
Step 1 — Your Revenue
The total your business collected before any expenses came out
Everything your business brought in — your top line number from your tax return or P&L statement
$
Step 2 — Your Total Expenses
Everything the business spent — all costs combined into one number
Add up everything: staff wages, rent, supplies, insurance, marketing, loan payments, taxes — all of it. Your accountant or tax return will have this as one total. If unsure, call your accountant.
$
Step 3 — Owner Add-Backs (These work in your favour)
Expenses in your total that a new owner would not have to pay — adding these back increases your EBITDA and your sale price
What you paid yourself. A new owner may pay themselves differently — so buyers add this back. Not sure? Check your T4 or ask your accountant.
$
Personal car, travel, meals, phone, club memberships run through the business, plus any one-time unusual costs (legal battles, one-off repairs). If unsure what qualifies, ask your accountant or broker.
$
Your EBITDA
$0
Adjusted earnings
EBITDA Margin
0%
% of revenue
Net Profit
$0
Revenue minus expenses
Add-Backs Total
$0
Working in your favour

Estimated Business Valuation Range

Based on typical SMB sale multiples of 2.5× to 5× EBITDA. Your actual multiple depends on your industry, growth, customer concentration, and how well-prepared you are to sell.

Conservative (2.5×)
$0
Lower-end offer
Likely Range (3.5×)
$0
Most common SMB range
Strong (5×)
$0
Well-prepared business
Important: These numbers are a starting point for your planning — not a formal valuation. A qualified business broker or M&A advisor will look at many additional factors. The goal here is to understand where you stand today so you can take the right steps to increase your value before you go to market.
Save a Snapshot of These Numbers
Give this calculation a name so you can come back to it later — e.g. "2024 Year End" or "After Accountant Review"
My Saved Snapshots
Click "Load" to bring any saved set of numbers back into the calculator

Are You Even Ready to Go to Market?

Your EBITDA is only part of the story. Buyers pay more for businesses that are genuinely prepared. Take the free SYB4M Exit Assessment to find out where you actually stand.

Take the Free Exit Assessment →
Track your EBITDA year over year

Buyers often look at 3 years of financials. A rising EBITDA trend — even a modest one — tells a buyer your business is healthy and growing. Use this tracker to see your trend, identify weak years, and understand what you need to improve before you're ready to sell.

The easiest way to fill this in:
1
Go to the Calculate My EBITDA tab and enter your numbers for one year.
2
Scroll down and click "Send to My Year Tracker" — it adds that year here automatically.
3
Go back to the calculator, clear it, enter the next year, and send again. Repeat for up to 5 years.
You can also type numbers directly into the tracker below if you already have your EBITDA figures handy.
My EBITDA History
Enter up to 5 years. Most recent year last.
Revenue Total Expenses EBITDA

Your EBITDA Trend

What Your Trend Says
3-Year Average Valuation
Many buyers use an average of your last 3 years — not just the most recent — to smooth out good years and bad years

Ready to start growing that number?

The SYB4M Roadmap walks you through exactly how to increase your EBITDA — and what buyers actually look for.

Go to the Roadmap →
Plain-English definitions

You don't need an accounting degree. You just need to understand what these terms mean well enough to have a smart conversation with your broker, accountant, or a buyer.

EBITDA Most Important

Earnings Before Interest, Taxes, Depreciation, and Amortization. In plain English: what your business actually earns after running costs, before the accountants and tax people get involved. This is the number buyers use to value your business.

Example: Your revenue is $2M, your real operating costs are $1.4M — your EBITDA is roughly $600,000.
EBITDA Multiple

The number a buyer multiplies your EBITDA by to arrive at their offer. A buyer offering "4× EBITDA" means they'll pay 4 times your annual earnings. Typical multiples for small businesses run from 2.5× to 5×, depending on your industry, size, and how well-prepared you are.

Example: EBITDA of $600K × 4 multiple = $2.4M sale price.
Adjusted EBITDA Also Called "Recast"

Your EBITDA after adding back owner-specific expenses that won't apply to the new owner. This is almost always higher than your raw EBITDA — and it's the number you want to present to buyers.

Example: If you pay yourself $200K and run $30K of personal expenses through the business, that $230K gets added back to your EBITDA.
Add-Backs

Legitimate expenses in your financials that a buyer would not have to pay after buying your business. Adding them back to your EBITDA increases the number — and therefore your sale price. Common add-backs include your salary, personal vehicle, travel, and one-time costs.

Gross Profit

Revenue minus the direct cost of delivering your product or service (your Cost of Goods Sold). A high gross profit margin means your business is efficient — buyers like that.

Example: $2M revenue, $800K in cost of goods = $1.2M gross profit (60% margin).
EBITDA Margin

Your EBITDA as a percentage of revenue. The higher this is, the more profitable your business is relative to its size. Most buyers expect to see 15–25%+ for a healthy SMB.

Example: $600K EBITDA on $2M revenue = 30% EBITDA margin. Very attractive.
Depreciation & Amortization (D&A)

These are accounting entries — not real cash payments. Depreciation is the "paper" reduction in value of equipment or vehicles over time. Amortization is similar, but for intangible assets like software or patents. Because they're not real cash out the door, they get added back in your EBITDA calculation.

SDE — Seller's Discretionary Earnings

Similar to EBITDA, but used more commonly for very small businesses (under $1M in earnings). SDE also adds back the owner's salary and benefits, since the buyer will likely replace the owner. If your business earns less than $1M EBITDA, your broker may use SDE instead.

Trailing Twelve Months (TTM)

The last 12 months of financial results — regardless of whether they match your fiscal year. Buyers often ask for TTM numbers to get the most current picture of your business.

Numbers are only part of the story.

The SYB4M program helps you improve your EBITDA, understand your value, and get the best possible price when you sell.

Explore the Full Program →
AI Valuation Booster What Would Your Business Be Worth If It Were
AI-Ready by 2027?

Buyers today are paying more for businesses that run efficiently, don't depend on the owner, and have their data in order. AI can deliver all three. Toggle on the upgrades you could realistically make — and see what they'd do to your exit number.

You haven't calculated your EBITDA yet. Go to the Calculator tab first and enter your numbers. Once your EBITDA is set, come back here to see how AI readiness can boost your exit value.
Your Current Numbers (from Calculator)
These pull automatically from what you entered. If they're $0, go fill in the Calculator tab first.
Payroll + Rent + Marketing + Other Operating Costs
$
Your adjusted earnings from the calculator
$

You can override these manually to model different scenarios.

Select the AI upgrades you could realistically make before selling

Each toggle adds a specific, defensible benefit that buyers and their advisors will recognize. You don't need all three — even one changes your number meaningfully.

OPEX + Multiple
✓
Automation & Cost Reduction
Deploy AI tools to automate repetitive tasks — invoicing, scheduling, reporting, customer follow-up. Industry benchmark: 15% OPEX savings + +0.2× multiple boost.
Multiple
✓
Data & Reporting Maturity
Clean, accessible business data and real-time dashboards signal a buyer won't inherit chaos. Reduces perceived risk. Benchmark: +0.3× multiple boost.
Multiple
✓
Owner Independence (AI SOPs)
Documented, AI-assisted systems so the business runs without you. The single biggest fear of every buyer — eliminated. Benchmark: +0.5× multiple boost.

Your AI-Boosted Exit Value — 2027 Projection

Estimated
Today's EBITDA
$0
Your current baseline
AI-Boosted EBITDA
$0
After automation savings
Boosted Multiple
3.5×
vs. 3.5× baseline
□
Select upgrades above to see your boost Your AI-ready exit value vs. today's value
Today's exit value (3.5× baseline) $0
Automation OPEX savings (15% of OPEX) --
Multiple boost from automation (+0.2×) --
Multiple boost from data maturity (+0.3×) --
Multiple boost from owner independence (+0.5×) --
AI-Ready Exit Value (2027 Projection) $0
Heads up: These projections are directional — not a formal valuation. The multiple boosts shown reflect buyer behaviour and deal data patterns for SMBs that demonstrate AI readiness. Your actual result will depend on your industry, buyer pool, and how thoroughly these improvements are implemented. Use this to understand what's possible, then build toward it.

The SYB4M Roadmap shows you exactly how to build AI readiness — step by step.

Module by module, we walk you through the preparation that gets you a higher multiple and a cleaner deal. Owners 3–5 years out see the biggest payoff.

Explore the SYB4M Roadmap →
© 2025 Warren Business Development Center Inc.  |  warrenbdc.com  |  syb4m.com
  • Home
    • About SYB4M
    • Eric Gilboord
    • WarrenBDC
  • SYB4M Roadmap App
    • Payment
  • Are You Ready?
    • Exit Assessment
    • EBITDA CalcTrac
    • Shark Tank Quiz
  • Podcast & Blog
    • SYB4M Podcast
    • SYB4M Blog
  • Contact Us