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What Is My Business Actually Worth?

Most small business owners are off by 20–40% when estimating what their business would actually sell for.

The reason is simple: owners think in terms of effort and potential. Buyers think in terms of cash flow and risk.

The short answer

Most small businesses sell for roughly 3x–5x their annual cash flow.

What buyers actually care about

• Cash flow
• Owner dependence
• Revenue stability
• Cash timing

Reality

If a bank will not finance it, a buyer will not pay for it.

If you want a quick, realistic estimate:

Try the valuation calculator