If you’re thinking about selling a business — or putting in an offer to buy one — the first question is always the same: what’s it actually worth?

That’s where our VAC Tool (Valuation Analysis Calculator) comes in. It’s a fast, common-sense framework to figure out whether a business is realistically priced and whether it’s worth pursuing further. It doesn’t replace a full valuation, but it gives you a reliable sanity check within 30 minutes.

Let’s walk through how it works — and how we’ve used it to help owners add seven figures to their exit.

What Is the VAC Tool?

The VAC lets us:

  • Analyze what a business is likely worth today
  • Identify areas to grow, improve efficiency, and reduce risk
  • Estimate how much enterprise value we can create with some focused improvements

It gives us a clear picture: Is the owner’s asking price grounded in reality? And if not, what would it take to make the business worth that much?

 

The Core Drivers of Value

A business’s value boils down to three things:

  1. Size (Revenue & EBITDA)
  2. Efficiency (Profit Margins)
  3. Risk (How secure and sustainable the operation is)

In simple terms:

Value = Size × Efficiency × Multiple (Risk-Adjusted)

We start by plugging in basic financials — revenue, EBITDA, current structure. Then we layer on industry-specific valuation multiples and assess risks like lease terms, management depth, legal issues, and more.

 

Example: A $15M Company with $1.26M in EBITDA

Let’s say we’re looking at a Canadian business doing $15 million in revenue and $1.265 million in EBITDA.

Right now, it’s worth about $4.427 million using a typical industry multiple.

But here’s where the tool shines — we can explore what happens when we pull a few value levers:

1. Grow the Business by 20%

  • EBITDA increases to $1.518M
  • Value increases by ~$885K

2. Improve Efficiency by 5%

  • EBITDA margin goes from 8.4% to 13.4%
  • Value increases by ~$2.6M

3. Improve the Risk Profile

  • Increase the multiple from 3.5× to 4.9×
  • Value increases by ~$1.77M

Combining all three? You could double or even triple the company’s value before you sell.

 

Real-World Impact: $1M+ in Additional Sale Value

We recently worked with a business owner who thought his company was worth $6 million. Our tool showed it was closer to $5.2M today — but also outlined a path to grow and improve the company over the next 12–24 months.

By implementing:

  • A stronger management team
  • Better systems (like cloud-based ERP)
  • Cleaner financials and legal footing
  • Smarter marketing and sales strategies

We mapped out a path to $15 million.

His response?

“You get me $15 million, I’m out.”
Perfect. Now we’ve got a roadmap.

 

But Can I Retire?

We also built a Wealth Gap Calculator into our tool.

This helps owners answer:
“Do I have enough to retire?”

It factors in:

  • Current earnings from the business
  • Outside income (rentals, dividends, etc.)
  • Desired retirement income
  • Investment returns
  • Debt and taxes

We show exactly how much you’d need from the business sale to close the gap — and whether you can get there by selling now or by working together to boost the company’s value first.

Wrapping Up

The VAC is a fast, plain-English way to assess what your business is worth today — and how to dramatically increase that number over the next 1–2 years.

If you’re a business owner wondering what your company is really worth — or you’re planning to sell and want to maximize your payday — this is where you start.

Ready to Find Out What Your Business is Worth?

Click the button below to access the VAC tool or book a free consultation.

👉 Get Your Free Business Valuation

We’ll walk you through the numbers and show you how to turn your exit into the best deal of your life.

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