Know what to pay before you sign.
They named a multiple. We show what comparable deals actually cleared at, whether it holds up for this business, and what would move the number. A benchmark you can carry into the negotiation, not a gut feel.
One flat written quote · every comp sourced · turnaround set with your scope
The ask sits above the range. Comparable deals cleared 2.9 to 4.1× SDE. We show whether it holds for this business, and exactly what would move the number.
The multiple, checked against real deals.
Not a rule of thumb or a broker's opinion. What businesses like this one actually changed hands for, adjusted for what makes yours different.
Comparable transactions
Real deals in this size and sector band, sourced, not a rule of thumb pulled from a forum.
A reasoned range for this business
The comps adjusted for what makes yours different: concentration, growth, margins, owner reliance.
The levers that move it
What would justify a higher number, and what should pull it down, so you know where the negotiation lives.
A number you can negotiate with
A defensible range you can put on the table with evidence behind it, not a feeling about the price.
A pricing benchmark and negotiation input, sourced throughout. Not a certified business appraisal or a CPA quality-of-earnings, and not investment advice.
A number you can defend.
The multiple checked against comparable deals that actually cleared, sourced and dated so it holds up when the other side pushes back.
What actually moves a multiple.
Multiples are not folklore. A handful of measurable factors explain most of the spread between deals, and each one is checkable.
| The lever | Which way it moves the multiple | Why |
|---|---|---|
| Earnings scale | Lifts it | Multiples step up at size thresholds. The same business earns more per dollar of SDE at $2M than at $600K, because more buyers can finance it. |
| Recurring vs. re-won revenue | Lifts it | Contracts and service agreements clear higher than project work you re-sell every quarter. Buyers pay for revenue that shows up on its own. |
| Owner dependence | Drags it | The more the seller personally is the business, the deeper the discount. Transition risk is priced, every time. |
| Customer concentration | Drags it | One account carrying a large share of revenue pulls the number down hard. Diversified books defend the ask. |
| Asset weight and capex | Drags it | Heavy fleets and aging equipment drag the multiple, because the buyer prices the replacement bill the listing leaves out. |
| Quality of the books | Lifts it | Clean, verifiable financials clear at a premium. Messy add-backs and cash sales get a haircut before anyone argues about the business itself. |
The benchmark you carry in.
Asking 4.2x SDE · a $1.8M SDE home‑services business
For anyone who does not want to overpay.
The number on the table is the one decision you can't take back. Walk in with evidence.
Buyers at LOI
Before you commit to a multiple in writing. Comparable deals, and what they actually cleared at.
Searchers
A sanity check on the broker's ask. Priced against real transactions, not the pitch.
Sellers testing an ask
Is your number defensible before you list. Walk in knowing where the range really sits.
Anyone negotiating
Bring evidence to the table, not opinion. A sourced range beats a gut number every time.
Want the business behind the number? A Verdict investigates the company the price is attached to, in full, so the multiple is not the only thing you are trusting. See the full Verdict.
Price Check is one seat at a four-seat desk.
Due diligence is the anchor. The same sourced discipline runs from the first listing to the final price.
Staring at a multiple?
Send the asking price and the business. You get what comparable deals actually cleared at, a defensible range for this one, and one flat quote before any work starts.
One flat written quote per engagement · every comp sourced · benchmark, not a certified appraisal