Financing and debt service
Estimate the buyer's cash down, total debt, annual debt service, monthly payments, and applicable SBA guaranty fee.
Small Business Acquisition Deal Calculator
Asking Price
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Industry Avg:
Revenue
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Cash Flow
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Cash Flow Multiple
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Revenue Multiple
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Cash Flow Margin
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Default Rate (Industry)
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Total Acquisition Cost
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Total Cash Down
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Total Debt Amount
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Annual Loan Payment
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Monthly Loan Payment
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Est. Payback Period
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SBA Guaranty Fee
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DSCR with Current Financing
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See how your deal stacks up against industry benchmarks, get a tailored AI analysis and receive a BizHub AI Score that highlights the deal’s overall strength.
Calculate the deal and ensure an industry has been selected to enable Deal Analysis.
Analyze a small business acquisition with SBA financing
A promising listing can still become a difficult acquisition once financing and post-closing cash flow are considered. BizHub combines the business's operating numbers with the proposed capital structure so you can evaluate the deal before committing significant time or diligence costs. Paste a supported business-for-sale listing or enter the asking price, revenue, seller's discretionary earnings, down payment, loan terms, seller financing, closing costs, and ongoing expenses manually.
For an SBA-financed purchase, the calculator can also account for the SBA guaranty fee, working capital, additional equipment, and expenses required to replace the seller's labor. Model the bank loan and seller note separately to compare their payments and combined debt service, then use the resulting DSCR and post-debt cash flow to judge whether the business has a reasonable operating cushion.
What the business purchase calculator shows
DSCR and remaining cash flow
See how comfortably the business's cash flow supports the proposed bank and seller-note payments under your financing assumptions.
Price and operating benchmarks
Review cash-flow and revenue multiples, cash-flow margin, reported industry benchmarks, and an estimated equity payback period.
Small business acquisition calculator FAQs
What is DSCR when buying a business?
Debt service coverage ratio (DSCR) compares the cash flow available for debt service with the annual payments required by the proposed financing: available cash flow divided by annual debt service. A higher ratio indicates a larger cash-flow cushion, although lenders determine their own requirements.
What is SDE?
Seller's discretionary earnings (SDE) is a measure commonly used for owner-operated small businesses. It starts with business earnings and may add back eligible owner compensation and discretionary or one-time expenses.
Can the calculator model seller financing?
Yes. You can add a seller note, set its term and interest rate, and model either amortizing or interest-only seller financing alongside bank financing.
Can I analyze a listing or an off-market business?
Yes. Paste a supported business-for-sale listing URL to populate available deal information, or enter the asking price, revenue, SDE, financing assumptions, and expenses manually for brokered, off-market, or privately sourced opportunities.
Continue your acquisition analysis
BizHub provides educational estimates, not lending, valuation, legal, tax, or investment advice. Verify all inputs and conclusions with the appropriate professionals before pursuing an acquisition.