How to Read the Result
The first figure is the yearly profit a buyer values; the second is that profit times the multiple you chose. Move the multiple to see the range: a buyer pays more for a business with contracts, clean books and an owner who is not the whole desk.
When Not to Use It
It is not an appraisal and it cannot stand in for one: a buyer adjusts EBITDA for the owner's pay, one-off costs and client concentration, and none of that is here. Do not quote the figure to anybody as what your business is worth.
