Valuations

Understanding your business’s value is the first step in planning a successful exit. This section explains how buyers evaluate software, SaaS, and service companies in the lower middle market. The guidance comes from real deals and real buyer behavior.

You will learn how financial value differs from strategic value. You will also see how growth, churn, customer concentration, and profitability shape your valuation. Owner dependence matters as well, since buyers want companies that run smoothly without the founder.

These articles describe why recent comparable sales matter and how interest rates affect pricing. They also show what buyers look for when they judge risk and return.

My approach is direct and practical. A clear valuation sets expectations, attracts qualified buyers, and helps you secure stronger offers. Use these resources to understand how buyers will view your business and what changes can raise your valuation before you go to market.


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EBITDA vs. Seller’s Discretionary Earnings (SDE): Which Matters More When Selling Your Business

When it’s time to sell your business, one of the first questions buyers ask is simple: How much money does it really make? The answer isn’t always straightforward. Business buyers measure profitability in a few different ways, and two of the most important metrics you’ll hear are EBITDA and Seller’s Discretionary Earnings (SDE). Both EBITDA […]

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How SaaS Metrics Influence Valuation: ARR, Churn, and Net Revenue Retention Explained

When it comes to selling a SaaS business, valuation is far from a simple multiple of revenue. Investors and acquirers want to know not just how much you earn today, but also how predictable, durable, and scalable that revenue will be in the future. That’s why certain SaaS-specific metrics, particularly Annual Recurring Revenue (ARR), Churn,

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The right time to sell a business depends on the owners state of mind

When Is the Right Time to Sell Your Business? A Comprehensive Guide to Maximizing Value and Achieving a Lucrative Exit

Deciding the right time to sell your business is one of the most significant professional and financial steps you can take. As a business owner, your company likely represents not only your livelihood but a substantial portion of your personal wealth. The decision on when to sell is therefore critical. Many entrepreneurs hold onto their

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Discuss factors which contribute to business value

The Factors That Affect Company Valuation: What You Need to Know

What’s your company’s true value in today’s market? Unlocking this crucial insight can be the key to a successful sale or strategic planning. Let’s do a quick dive into the critical factors that drive company valuation, from financial performance to industry dynamics. Whether you’re a seasoned entrepreneur or a first-time business owner, understanding these elements

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