Business Valuation Model

Enter key metrics to get professional valuation results. Intelligent analysis to assist decision-making.

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Valuation Model

Enter the following data, and the system will automatically calculate the business valuation results. All fields are required.

Basic Information

Team Evaluation

Other Factors

Calculation Logic

Understand how our valuation model works and how each metric is calculated.

Industry Multiplier

Determine the lower and upper limits of the net profit multiplier based on the industry. Non-listed companies apply a 70-80% discount (liquidity discount).

Industry Classification Lower Net Profit Multiplier Upper Net Profit Multiplier
Technology/Software 7.0 14.0
Manufacturing 4.2 7.0
Consumer Retail 4.9 8.4
Healthcare 6.3 10.5
Construction 3.5 5.6

Team Evaluation

Evaluate the team based on industry experience, execution, innovation and other indicators, then calculate the adjustment coefficient according to the scoring conversion formula.

Scoring Conversion Formula

Adjustment Coefficient = 0.8 + (Total Score - 5)×0.05

Industry Experience Scoring Criteria

  • <3 years: 1 point
  • 3-5 years: 2 points
  • 5-8 years: 3 points
  • 8-12 years: 4 points
  • >12 years: 5 points

Execution Scoring Criteria

  • <50%: 1 point
  • 50-70%: 2 points
  • 70-85%: 3 points
  • 85-95%: 4 points
  • >95%: 5 points

Risk Assessment

Evaluate risks based on policy relevance, technology iteration cycle, legal disputes and other risk indicators, then calculate the risk adjustment coefficient.

Risk Coefficient Calculation Formula

Risk Adjustment Coefficient = 1 - (Total Risk Score / 10)

Total Risk Score = Σ(Each Risk Score×Weight)

Risk Weight Allocation

  • Industry Risk: 40%
  • Operational Risk: 30%
  • Financial Risk: 30%

Policy Sensitivity Scoring

  • Low policy relevance: 1 point
  • Occasional policy attention needed: 2 points
  • Frequent policy attention needed: 3 points

Valuation Formula

The final valuation comprehensively considers multiple factors such as net profit, industry multiplier, growth factor, team score and risk adjustment.

Basic Valuation

Upper Basic Valuation = Net Profit×Upper Industry Multiplier

Lower Basic Valuation = Net Profit×Lower Industry Multiplier

Note: Non-listed companies' industry multipliers need to consider liquidity discount (70%-80%)

Final Valuation

Upper Valuation = Upper Basic Valuation×Growth Factor×Team Score Conversion Coefficient×Risk Adjustment Coefficient

Lower Valuation = Lower Basic Valuation×Growth Factor×Team Score Conversion Coefficient×Risk Adjustment Coefficient

Other Coefficients

Growth Factor = 1 + Growth Rate / 100