E-commerce Valuation Calculator

How Does Our E-commerce Valuation Calculator Works?

We created this E-commerce Valuation Calculator to find the worth of your e-commerce website based on the latest industry standards. The tool is completely free to use! Input your key financial information, along with traffic data, about your store’s website and we will provide you with an approximate value of your e-commerce business.

We use the following formula in our calculation:

Business Valuation = Annual Net Profit Before Tax × Adjusted Multiple

We have seen from our experience and current market conditions that buyers are focused on profit instead of revenue. That’s why we included PBT in our formula, along with many factors like sales trends, number of visitors, marketing costs, etc. that go into finding the Adjusted Multiple All the factors are given different weights and bases to determine the multiple.

We also consider the latest Industry benchmarks to find out where your business stands in today's time. Whether you're planning to sell or seeking investors, this tool can help you in making important business decisions.

We understand that valuing a business can seem complicated, so we've simplified the process into a few easy steps. Find out what your e-commerce business is REALLY worth in 5 Minutes!

Note that the final output is not a 100% accurate value but can be a good starting point to know what you get when selling it.

Why Trust Our Valuation Calculator?

With over five years in the industry, we genuinely understand what buyers are looking for when buying someone else’s business. We know what data they specifically look for when doing their due diligence. So, we've used this insider knowledge to create a valuation calculator that considers the real factors affecting your store's worth today. Trust us to provide an honest valuation that can guide your decisions and help you confidently plan your next steps.

Not Convinced with the Valuation?

Have doubts about the value of your e-commerce business or how to sell it? Our expert M&A advisors are here to help you navigate every step.

Book a Free Valuation Call

Frequently Asked Questions

What is an E-commerce business valuation calculator?

An E-commerce business valuation calculator determines the value of your e-commerce store in case you are planning to sell your website or are seeking investors. Using your Annual Profit and other important financial metrics, we try to find the worth of your store.
What is Annual Net Profit Before Tax?

Annual Net Profit Before Tax is the total revenue your business earns in a year minus all operating expenses, but before income taxes are deducted. It reflects the profitability of your business's core operations.
What factors does the calculator ask to consider when determining my business’s value?

We ask for your store’s annual profit before tax as the base value and then multiply it by an ‘Adjusted Multiple’ based on other factors, which include marketing costs, sales trend in the last 3 months, number of visitors, and SEO traffic.
How do adjustments affect the valuation?

Adjustments either increase or decrease the base multiple based on your business's performance in key areas. Positive adjustments are made for strengths, such as an increasing sales trend or low marketing cost, while negative adjustments account for areas needing improvement like low customer retention rates. The sum of these adjustments results in the Adjusted Multiple, which is used to calculate your estimated business value.
How accurate is our valuation calculator?

Our calculator provides an estimate based on the information you provide and standard valuation methods used in the industry. While it offers a solid starting point, it's important to note that no automated tool can replace a professional valuation.
Do I have to provide my email and name?

Yes, providing your email and name is required. You'll receive a One-Time Password (OTP) via email to verify your identity before accessing your valuation results. This ensures the security and privacy of your data.
What if I don't know some of the information requested?

You will find all this information in your P&L statements and Store’s Analytics dashboard. Still, if you're unsure about certain data points, we recommend gathering as much accurate information as possible before using the calculator. Estimates can be used, but they may affect the accuracy of the valuation.
Is this calculator free to use?

Yes, our Business Valuation Calculator is free to use. We aim to provide accessible tools to help business owners understand their company's value and make informed decisions.
Can I use the valuation when negotiating with buyers or investors?

Yes, the valuation can serve as a starting point in discussions with potential buyers or investors. However, remember that it's an estimate. Serious negotiations typically involve a thorough due diligence process and may require a professional valuation to substantiate your asking price.