Which Business Valuation Calculator Should I Use?

We now have two business valuation calculators available on the web.  One at freevaluationsonline.com is a free, advertising supported calculator.  The other, at ezvaluation.com is a more comprehensive calculator.  It is designed for professionals with a working knowledge of accounting and creates an accurate valuation even in complex circumstances.   To decide which you should use, read through the similarities and differences below:

Similarities

Both valuation calculators were designed by professional business brokers to give accurate valuations, based on what small to mid-sized established businesses sell for in the real world.  The on-line software is entirely web based and produces a printable report that explains the methodology used in detail.  Unlike some business valuation calculators, the software gives the results immediately and does not require you to give us contact information or the name of the company being valued.

Both calculators are designed to be easy to use.  We have focused on the most important information to keep data entry to a minimum.  Where data can be aggregated, we allow totals to be input.

Differences

The more comprehensive business valuation calculator asks more questions about your particular business. These questions are designed to determine the risks, growth potential, desirability, and other unique factors that a buyer will use to determine what to pay.  They are based on the questions and concerns we have seen in the real world in thousands of encounters between buyers and sellers.  However, the more comprehensive business appraisal takes longer to complete (about an hour, vs. 20 minutes).

The valuation software at ezvaluation.com allows you to save your answers part way through and return to the complete the valuation at a later date or to go back and change answers and re-run the valuation.