BTB Buyer Guide
How to Think About Small-Business Valuation
A listing price is an asking price, not proof of value. Buyers often compare earnings-based metrics such as SDE multiples, but a multiple by itself does not capture financial quality, customer concentration, owner dependence, growth, assets, liabilities or transaction terms.
BTB guide · Updated September 30, 2026
Separate facts from assumptions
Start with seller claims, identify which figures are supported by documents, normalize earnings carefully, compare relevant market information where available, and stress-test the purchase under realistic financing and operating assumptions. BTB's provenance labels are designed to keep listing claims, document facts, buyer inputs and calculated results distinct.
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Educational information only. Verify transaction, legal, tax, accounting and lending questions with qualified professionals and current source material.
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Business buying guide · SDE explained · Valuation guide · Due diligence · Seller financing · Making an offer