How Much Can You Sell a Business For? Realistic 2026 Ranges by Size and Industry

‘How much can you sell a business for’ is the most important question most owners never get a straight answer to. Brokers give vague ranges. Online calculators give inflated numbers. Friends in the industry give anecdotes that don’t apply. The actual answer is structured: it depends on size, industry, and a handful of risk factors that buyers price into every deal.

For lower-middle-market businesses (the segment we work with: $1M-$25M EBITDA), the realistic range is 4-8x adjusted EBITDA. That translates to deal sizes of $4M to $200M depending on EBITDA. A $1M EBITDA business sells at 4-5x ($4-5M). A $5M EBITDA business sells at 6-7x ($30-35M). A $25M EBITDA business sells at 8-10x ($200-250M). Most owners we talk to underestimate the spread — their first guess is usually within $10M of the right answer for their size band, but they’re often off on which end of the range they sit at.

What separates the bottom of the range from the top is largely about risk and growth. Buyers don’t pay 8x for a 4x business no matter how much the seller wants to. The factors that move a business up are size, growth rate, recurring revenue percentage, defensibility (proprietary tech, brand, contracts), and depth of the management team. The factors that move it down are owner dependence, customer concentration, declining market, capex intensity, and weak financial controls.

This guide covers the realistic ranges by size band and the factors that decide where you land. We finish with a section on how to use a free calculator (ctacquisitions.com/survey) to get a personalized estimate before deciding whether to pursue a sale. The number that comes out of a calculator should agree within 20% of what a real buyer offers — if it doesn’t, your inputs need rechecking.

“The honest answer to ‘how much can you sell a business for’ isn’t a number — it’s a range. The size of the range is set by your industry. Where you land in the range is set by you.”

Key Takeaways

• Lower-middle-market businesses typically sell at 4-8x adjusted EBITDA. The 4-8x range covers most $1M-$25M EBITDA businesses, with smaller deals lower and larger deals higher.
• Size dominates the multiple. Under $1M EBITDA: 2-4.5x. $1-3M: 4-6x. $3-10M: 5-8x. $10-25M: 6-10x. Over $25M: 8-12x+. Doubling EBITDA more than doubles enterprise value because the multiple itself expands.
• Recurring revenue, growth, and management depth move you up. 50%+ recurring: +0.5-1.5x. 15%+ growth: +0.5-1.0x. Independent management team: +0.5-1.0x.
• Owner dependence and customer concentration move you down. Heavy owner involvement: -0.5-2.0x. One customer over 25%: -0.5-1.5x. One customer over 50%: -1.5-3.0x or deal-killer.
• The headline price isn’t what you receive. Equity value (after cash, debt, working-capital adjustment) is typically 80-95% of enterprise value. After capital-gains tax (25-37% combined), net proceeds are usually 50-65% of the headline price.
• Use a free calculator at https://ctacquisitions.com/survey/ for a personalized estimate before committing to a sale process.

The size band almost entirely determines the multiple

Multiples scale with EBITDA size in a clear and predictable way. This is the single most important fact about business valuations: a $750k EBITDA HVAC business and a $7M EBITDA HVAC business trade at very different multiples even though they’re in the same industry. The smaller one might sell at 3-3.5x; the larger one at 6-7x. The factor of ten in EBITDA produces roughly a factor of twenty in enterprise value because the multiple itself nearly doubles.

Why size drives multiples. Larger businesses are (a) more diversified across customers, products, and geographies; (b) more institutional in their systems and management; (c) more attractive to a wider buyer pool (PE, family office, large strategic); and (d) less dependent on any single individual. Each of these reduces buyer risk, which raises the multiple. Smaller businesses are riskier on all four dimensions, which compresses the multiple.

The size bands and their typical 2026 multiples. Under $500k EBITDA (Main Street): 2.0-3.5x. $500k-$1M EBITDA: 3.0-4.5x. $1M-$3M EBITDA: 4.0-6.0x. $3M-$10M EBITDA (lower middle market): 5.0-8.0x. $10M-$25M EBITDA: 6.0-10.0x. Over $25M EBITDA (middle market): 8.0-12.0x+. These ranges apply to most operating businesses; specialty industries (SaaS, biotech, regulated services) can be substantially higher or lower.

What this means for owners thinking about timing. Growing from $1M EBITDA to $3M EBITDA is more than 3x value creation — it’s closer to 4-5x. ($1M × 4x = $4M EV; $3M × 5.5x = $16.5M EV). Owners considering a sale who are within 18-24 months of crossing into a higher size band often benefit from waiting. Owners stuck below a band ceiling for years often benefit from selling now and rolling the proceeds.

Industry-specific overlays on the size-band multiple

Industry adjusts the size-band multiple up or down by 0.5-2.0 turns. The size band is the dominant factor; industry is a secondary adjustment. A $5M EBITDA business sits in the 5-8x range. A $5M EBITDA SaaS business with strong NRR sits closer to 7-9x. A $5M EBITDA capex-heavy manufacturer sits closer to 4.5-6.5x. The size band is the same; the industry overlay shifts the band.

SaaS, MSPs, and recurring-service businesses get a premium. Vertical SaaS at $5M+ EBITDA: 8-15x EBITDA, often 3-7x revenue if growing. MSPs (managed IT services) with strong recurring revenue: 6-9x. Recurring HVAC service contracts: 5-7x EBITDA on the service-only portion. Subscription/membership businesses with proven retention: 6-9x. The premium reflects predictable revenue and high gross margins.

Project-based services get base multiples or slight discounts. Project-based contractors (HVAC installation, custom roofing, custom manufacturing): 4-6x at $1-5M EBITDA. The work is real but not recurring; revenue depends on continually winning new projects. Buyers price the cyclicality. Specialty professional services (legal, accounting): 4-6x EBITDA at small scale, with transferability discounts (clients follow partners, not firms).

Regulated, capex-heavy, or commoditized businesses get discounts. Heavy industrial manufacturing with $50M+ in fixed assets: 4-6x EBITDA. Trucking and logistics: 4-6x. Commodity distribution: 4-6x. Highly regulated services where compliance is binding: 3-5x. Capex-heavy businesses face the same scrutiny that PE buyers always apply: how much of the EBITDA gets reinvested in capex just to maintain the business? If maintenance capex is 50%+ of EBITDA, the multiple compresses.

Five factors that move you up the range

Factor 1: Size. We covered this in detail above — size is the single biggest driver. Pushing EBITDA from $2M to $4M is one of the highest-ROI things an owner can do before a sale, because the multiple itself expands as you cross size-band thresholds. A $2M EBITDA at 5x ($10M EV) becomes a $4M EBITDA at 6.5x ($26M EV). Doubling EBITDA produced 2.6x EV growth.

Factor 2: Recurring revenue. Recurring revenue (subscriptions, service contracts, monthly retainers, multi-year agreements) is worth significantly more per dollar than one-time revenue. A business with 70% recurring revenue often trades at +1.0-1.5x compared to an otherwise-identical business with 0% recurring. Recurring revenue is ‘sticky’ — it persists after the owner leaves, after price changes, after competitive pressure. Buyers underwrite it at much higher confidence.

Factor 3: Growth rate. Businesses growing 15%+ per year on revenue trade at +0.5-1.0x compared to flat businesses. Businesses growing 25%+ trade at +1.0-2.0x. Buyers extrapolate the growth into their underwriting model and pay more for the projected EBITDA, not just current EBITDA. The flip side: declining businesses trade at significant discounts because buyers extrapolate the decline.

Factor 4: Defensibility. Proprietary technology, strong brand, multi-year customer contracts, regulatory barriers, network effects, switching costs, exclusive distribution rights. Anything that protects the business’s margin and market share from competitors. Defensibility adds +0.5-1.5x because it reduces buyer concern about competitive erosion. A commoditized business with no defensibility trades at the bottom of its size-industry band.

Factor 5: Management depth. A business with a strong second layer (COO, CFO, sales leader, operations manager) below the owner is much more attractive to PE buyers, who want to remove the seller post-close. A business where the owner does everything is less valuable because the owner is the business. Management depth adds +0.5-1.0x. Building it pre-sale (12-24 months of intentional delegation) is one of the highest-ROI value-creation moves available.

Five factors that move you down the range

Factor 1: Owner dependence. If the owner does most of the sales, holds key customer relationships, or is the technical expert who solves the hard problems, buyers heavily discount the business. Owner dependence subtracts -0.5-2.0x of multiple. In severe cases (owner is 80%+ of customer-facing relationships), the discount is even bigger or the deal becomes uncloseable. Building independence pre-sale is the single most valuable thing most owners can do.

Factor 2: Customer concentration. One customer over 25% of revenue: -0.5-1.5x. One customer over 50%: -1.5-3.0x or deal-killer. Two customers over 50% combined: -1.0-2.0x. Buyers price concentration risk because losing a single customer post-close can wipe out years of cash flow. See our customer concentration guide for the full math and the strategies to reduce concentration before a sale.

Factor 3: Declining market. If your industry or sub-segment is shrinking (printed yellow pages, retail brick-and-mortar in some categories, fossil-fuel-related services), buyers apply a discount on top of any company-specific decline. Industry headwinds subtract -0.5-1.5x. The exception: distressed-industry roll-ups by specialty PE firms can sometimes pay reasonable multiples for last-survivor consolidation plays, but those are rare situations.

Factor 4: Capex intensity. Businesses where maintenance capex eats 30%+ of EBITDA have a quiet discount baked into the multiple. Trucking, heavy manufacturing, equipment rental, food processing — all face this. The math: free cash flow = EBITDA − maintenance capex − cash taxes − working-capital growth. If FCF is only 50% of EBITDA, buyers underwrite off FCF, not EBITDA, and the effective multiple is lower than the headline.

Factor 5: Weak financial controls. Cash-basis accounting, no audit history, commingled personal and business finances, inconsistent month-end close, no monthly P&L, no segment-level reporting. All of these signal risk to buyers because they can’t verify what they’re buying. Weak controls subtract -0.25-0.75x and often kill deals during diligence. Investing in clean GAAP financials and ideally a CPA-reviewed history (or full audit) before going to market is one of the highest-ROI prep moves.

Realistic deal sizes by industry: lower-middle-market examples

HVAC services with strong service-contract mix. $3M EBITDA, 40% recurring service contracts, no customer over 5%, owner runs sales but has GM in place. Base multiple at $3M EBITDA: 5-7x. Recurring revenue premium: +0.5x. Customer diversification: +0.25x. Owner-sales discount: -0.25x. Net multiple: 5.5-7.5x. Estimated EV: $16.5-22.5M. After working-capital and transaction expenses: $15-20M cash at close (assuming no significant debt).

B2B SaaS with strong NRR and growth. $8M ARR, $2M EBITDA, 25% growth, 115% NRR, no customer over 8%. SaaS at this scale typically values on revenue or ARR, not EBITDA. 4-6x ARR = $32-48M EV. EBITDA-based check at $2M: 12-15x = $24-30M (lower because EBITDA is depressed by growth investment). The revenue multiple is the operative one. Estimated EV: $32-45M. Cash at close: similar. Strong outcome for a relatively small EBITDA because the recurring revenue and growth profile commands a revenue-based valuation.

Specialty industrial distribution. $25M revenue, $4M EBITDA, regional supplier of niche industrial products to manufacturers. No recurring revenue (purchase-order based), top customer 18%, top three customers 40%. Base multiple at $4M EBITDA: 5-7x. Concentration discount: -0.5-1.0x. Specialty/defensibility premium: +0.25-0.5x. Net multiple: 4.5-6.0x. Estimated EV: $18-24M. The concentration drags the multiple even though the business is otherwise solid.

Regional CPA firm with strong transferability. $8M revenue, $1.8M adjusted EBITDA (after partner-comp normalization), 80% recurring (annual tax + monthly bookkeeping), 1,200 clients no customer over 1.5%, three partners with succession plan. Base multiple at $1.8M EBITDA: 4-6x. Recurring premium: +0.5x. Customer diversification: +0.5x. Partner-transferability discount (smaller because succession plan exists): -0.25x. Net multiple: 4.75-6.75x. Estimated EV: $8.5-12M. With significant earnouts due to client-relationship sticky-ness.

Light manufacturing with custom configurations. $15M revenue, $2.5M adjusted EBITDA, 30% recurring revenue (long-term supply contracts), top customer 15%, top three 35%. Capex about 20% of EBITDA (lower than typical manufacturing). Base multiple at $2.5M EBITDA: 4.5-6x. Recurring premium: +0.5x. Customer concentration discount: -0.5x. Capex profile is acceptable: 0x. Net multiple: 4.5-6x. Estimated EV: $11-15M. Strategic buyers willing to pay slightly above this for adjacency to existing capabilities; PE buyers slightly below.

Insurance brokerage with book of business. $4M revenue, $1.4M EBITDA, 95% recurring (renewal commissions), 600 commercial clients no customer over 3%, two principals with strong producers. Insurance brokerages get a specialty premium because of the recurring renewal stream and consolidator demand from PE-backed roll-ups. Base multiple at $1.4M EBITDA: 4-5.5x. Recurring revenue premium: +1.5x. Customer diversification: +0.25x. Industry consolidator demand premium: +0.5-1.0x. Net multiple: 6.25-8.25x. Estimated EV: $8.75-11.5M. Common with significant rollover equity into the consolidator’s platform.

Headline price vs. cash you receive: the gap most owners underestimate

Enterprise value is the headline number; equity value is what you receive. EV = how the business is valued. Equity value = EV + cash − interest-bearing debt − working-capital shortfall − transaction expenses. In a typical clean lower-middle-market deal, equity value is 85-95% of EV. In a deal with significant debt or working-capital adjustments, equity value can be 70-85% of EV.

Then deal structure determines how much is cash at close. A pure cash-at-close deal: 100% of equity value at close. With seller financing: 70-90% cash at close, rest in seller note. With earnouts: 60-80% cash at close, rest contingent on post-close performance. With rollover equity: 70-85% cash at close, rest in equity in NewCo. Cash-at-close is what you can rely on. The rest is contingent on future events that may or may not deliver.

Then taxes apply. Federal long-term capital gains: 20% above $500k taxable income (2026). State capital gains: 0% (TX, FL, NV, WA, etc.) to 13.3% (CA). Net Investment Income Tax: 3.8% on most M&A gains. Combined effective tax rate: 23.8% in no-state-tax states; 35-37% in California or NYC. The form of sale matters: asset sales typically generate ordinary income on some portion (depreciation recapture, allocations to assets at ordinary rates), pushing the effective rate up. Stock sales are usually 100% capital gains. See our asset vs stock sale guide for details.

Net proceeds are typically 50-65% of headline EV. Example: $20M EV business in California, asset sale, $1M debt, $300k transaction expenses, $200k cash retained. EV $20M -> equity value $18.9M -> cash at close $17M (assuming 90% cash, 10% seller note) -> after blended 32% tax: net proceeds approximately $11.5M. That’s 57% of the $20M headline. Owners who plan only against the headline number are routinely surprised. Plan against net proceeds.

Using a free calculator to get a personalized estimate

Online ranges are useful for setting expectations; calculators are useful for sanity-checking your specific situation. The ranges in this article apply to the average lower-middle-market business in each size band. Your business has specific factors — recurring revenue percentage, growth rate, customer concentration, owner involvement — that move you up or down the range. A calculator that asks about each of these gives a more accurate estimate than a generic table.

Our free calculator is at ctacquisitions.com/survey. Five minutes. 10-15 questions about your business: industry, revenue, EBITDA, growth rate, recurring revenue percentage, customer concentration, owner involvement, financial-controls quality. The calculator applies the size-band base multiple, industry overlay, and risk adjustments described in this article. The output is an estimated value range. No follow-up unless you ask for one.

What to do with the calculator result. If the range matches your expectation: you’re probably ready to talk to an M&A advisor about a sale process. If the range is below your expectation: figure out which inputs are pulling you down and decide whether they can be improved before sale. If the range is well above your expectation: double-check your inputs (especially adjusted EBITDA — over-aggressive add-backs are the most common cause of inflated estimates).

When a calculator isn’t enough. If you need a defensible valuation for ESOP, gift/estate, partner buyout, divorce, or litigation, hire a credentialed appraiser (CVA, ASA, ABV) for $3-15k. Their report holds up in court and with the IRS; an online calculator does not. For an arms-length sale to a real buyer, the calculator is enough — the market sets the price, not an appraiser.

Common myths about how much businesses sell for

Myth 1: ‘My friend sold his business for 10x; I should get the same.’ Anecdotes are unreliable. The 10x figure may have been a SaaS business with $10M EBITDA. Yours is a $1.5M EBITDA service business. The size band, industry, and risk profile produce very different multiples. Don’t price your business off your friend’s headline number; price it off comparable transactions in your size and industry.

Myth 2: ‘Revenue multiples apply to most businesses.’ Revenue multiples are useful for SaaS, biotech, and very-high-growth businesses where EBITDA is depressed by growth investment. For most operating businesses (services, distribution, manufacturing, professional services), EBITDA multiples are the right metric. A 1x revenue multiple sounds great until you realize it implies a 5-10x EBITDA multiple at 10-20% margins — which is what the EBITDA approach would have given anyway.

Myth 3: ‘The first offer I get is the price.’ First offers are the floor, not the price. A real sale process generates multiple offers, validates them through diligence, and produces a final price 5-25% above the first offer. Owners who accept the first offer without testing the market routinely leave 10-20% on the table. The exception: highly proprietary deals to a known strategic at a specific moment can be appropriate to negotiate without an auction.

Myth 4: ‘Goodwill is worth a lot.’ Buyers don’t pay extra for ‘goodwill’ or ‘reputation’ or ‘customer relationships’ as separate line items. Those things are reflected in the EBITDA your business generates. If your reputation produces $3M EBITDA, that EBITDA gets a multiple. If it doesn’t produce EBITDA, it’s sentimental, not financial. The exceptions: brand-name consumer businesses, unique IP — but these need real economic value to support a premium.

Myth 5: ‘Holding longer always gets a better price.’ Sometimes. Often not. Businesses growing 20%+ per year benefit from holding because EBITDA growth + multiple expansion compounds. Businesses that are flat or declining lose value from holding because risk increases (owner aging, market shifts, key-person concentration). Businesses near a size-band threshold benefit from holding 12-24 months to cross the threshold. Businesses already at the top of their band don’t benefit from waiting.

Myth 6: ‘A higher multiple always means a better outcome.’ Not always. A 7x multiple with 50% earnouts and 20% rollover equity can produce less cash than a 5x multiple at 100% cash close. Headline multiples make for impressive cocktail-party conversation; equity proceeds make for impressive bank statements. Always ask for the cash-at-close number, the contingent components, and the realistic probability of full earnout payment. A ‘higher’ multiple from an unsophisticated buyer who can’t close, or with structure that loads risk onto the seller, is sometimes worse than a lower-multiple offer with clean cash terms.

Myth 7: ‘Buyers will pay more if I market the business widely.’ True up to a point, then false. A real auction (15-50 qualified buyers contacted, 5-15 IOIs, 3-7 LOIs) typically produces a price 10-25% higher than a one-buyer negotiation. Beyond that, going broader produces diminishing returns and risks confidentiality. The optimal process for most lower-middle-market deals is a curated 30-100 buyer outreach with strong NDAs — not a maximum-distribution effort. The ‘optimal’ auction depends on your business’s appeal across buyer types; an experienced advisor calibrates the breadth based on the situation.

Conclusion

‘How much can you sell a business for’ isn’t a single number — it’s a range determined by size, industry, and risk. Lower-middle-market businesses typically sell at 4-8x adjusted EBITDA, producing deal sizes from $4M to $200M depending on EBITDA. Size dominates: a $1M EBITDA business at 4x is a $4M deal; a $10M EBITDA business at 7x is a $70M deal. Industry shifts the band 0.5-2.0 turns up or down. Risk factors (owner dependence, customer concentration, growth rate, recurring revenue, defensibility, management depth) move you up or down within your industry-adjusted band. The headline price isn’t what you receive: working-capital adjustments, debt payoff, transaction expenses, and capital-gains tax typically reduce net proceeds to 50-65% of EV. For a personalized estimate of where your business sits in this framework, run the free calculator at ctacquisitions.com/survey. The five-minute answer is a sanity check; the six-month answer (a real sale process) is the price.

Frequently Asked Questions

What is the typical multiple for a small business sale?

For lower-middle-market businesses with $1M-$25M EBITDA, the typical multiple is 4-8x adjusted EBITDA. Smaller businesses (under $1M EBITDA) sell at 2-4.5x. Larger businesses ($25M+ EBITDA) sell at 8-12x+. The size band is the single most important factor, with industry and risk adjustments shifting the multiple within the band.

How much can I sell my $1M EBITDA business for?

Typically $4-6M enterprise value (4-6x multiple). Could be lower (3.5-4x = $3.5-4M) if owner-dependent, customer-concentrated, or in a declining industry. Could be higher (6-7x = $6-7M) if recurring revenue is strong, growth is double-digit, and management is independent. Net proceeds after working-capital adjustments, debt payoff, and tax are typically 55-65% of EV = $2.2-3.9M.

How much can I sell my $5M EBITDA business for?

Typically $25-40M enterprise value (5-8x multiple). The 5-8x range reflects industry and risk variation. SaaS at $5M EBITDA can be 12-15x ($60-75M). Capex-heavy manufacturer can be 4-5x ($20-25M). Most operating businesses fall in the $25-40M range. Net proceeds after adjustments and tax are typically 55-65% of EV = $13.75-26M.

How much can I sell my $10M EBITDA business for?

Typically $60-100M enterprise value (6-10x multiple). $10M EBITDA puts the business in the lower-middle-market sweet spot for PE buyers, generating institutional-quality auctions. Strong businesses (high growth, recurring revenue, no concentration) can land at 8-10x ($80-100M). Average businesses 6-7x ($60-70M). Net proceeds typically 55-65% of EV = $33-65M.

What size business gets the highest multiples?

Larger is almost always better. Businesses over $25M EBITDA in attractive industries can trade at 10-15x. Vertical SaaS at scale: 12-20x EBITDA. Specialty pharma: 15-25x. Most operating businesses cap around 10-12x even at large scale. The size premium is real and persistent — doubling EBITDA more than doubles enterprise value because the multiple itself expands.

What size business gets the lowest multiples?

Sub-$500k EBITDA businesses (Main Street). Typical multiples 2-3.5x. The buyer pool is mostly individual operators with limited capital, often using SBA financing capped at $5M. Risk is high (owner-dependent, single-customer-concentrated, single-location). Within the segment, businesses with at least some recurring revenue and replicable systems get the higher end of the range.

How does customer concentration affect sale price?

One customer over 25% of revenue: -0.5-1.5x multiple discount. One customer over 50%: -1.5-3.0x or deal-killer. Two customers over 50% combined: -1.0-2.0x. Buyers price concentration heavily because losing a single customer post-close can wipe out years of cash flow. Diversifying the customer base 18-36 months before sale is one of the highest-ROI value-creation moves.

How does owner dependence affect sale price?

Heavy owner involvement (owner does sales, holds key relationships, is the technical expert): -0.5-2.0x multiple discount. Severe owner dependence (owner is 80%+ of customer-facing relationships): can make the business uncloseable. Building independence pre-sale (12-24 months of intentional delegation, hiring a GM or COO) is one of the most valuable things an owner can do.

Should I sell now or wait for higher EBITDA?

Depends on growth rate and band proximity. Businesses growing 20%+ per year benefit from waiting because EBITDA growth + multiple expansion compounds. Businesses near a size-band threshold benefit from waiting 12-24 months to cross the threshold. Flat or declining businesses lose value from waiting. Businesses already at the top of their band don’t benefit from waiting. Run the calculator at ctacquisitions.com/survey at current and projected EBITDA to see the difference.

What percentage of the sale price do I actually receive?

Net proceeds are typically 50-65% of headline enterprise value. Reductions: debt payoff (5-15%), working-capital adjustment (0-10%), transaction expenses (1-3%), seller financing or earnout (10-30% deferred), capital-gains tax (24-37% of equity value). The exact percentage depends on capital structure, deal structure, and tax jurisdiction. Texas seller with no debt, all cash, asset sale: 70-75% net. California seller with debt, partial earnout, asset sale: 45-55% net.

Do I need a formal valuation before selling?

Not for an arms-length sale to a strategic, PE buyer, or search funder. The market sets the price through the sale process. A free calculator like ctacquisitions.com/survey is enough for setting expectations. Formal valuations are required for ESOP transactions (annually), gift/estate planning, partner buyouts, divorce, and litigation — situations where a defensible report is needed for tax, legal, or court purposes.

How long does it take to sell a business?

Typical lower-middle-market timeline: 6-12 months from advisor engagement to close. Months 0-1: prepare CIM and diligence materials. Months 1-3: outreach to 30-100 buyers, NDAs, indications of interest. Months 3-5: management meetings, LOI negotiation. Months 5-8: due diligence (financial QoE, legal, commercial). Months 8-10: definitive purchase agreement. Months 10-12: signing and closing. The calculator tells you the price in 5 minutes; the actual sale takes a year.

About the Author

Christoph Totter is the founder of CT Acquisitions, a buy-side deal origination firm headquartered in Sheridan, Wyoming. CT Acquisitions sources founder-led businesses for 75+ private equity firms, family offices, and search funds across the U.S. lower middle market ($1M–$25M EBITDA). Christoph writes about M&A from the perspective of someone on the phone with both sides of the deal table every week. Connect on LinkedIn · Get in touch