Valuation Multiple Tool
- Regular price
- $299.00
- Sale price
- $299.00
- Regular price
-
$0.00
Valuation Multiple Tool helps you understand what your business is worth today—and what actually drives it higher tomorrow.
This app is designed for operators and finance leaders who want more than a static multiple. It connects enterprise value benchmarks to the underlying levers that influence valuation, including earnings performance, margin structure, and growth assumptions.
Use it to:
- Benchmark your business against market valuation ranges
- Stress-test how changes in performance affect enterprise value
- Translate operational decisions into valuation impact
This is not a theoretical model. It is a practical decision-support tool built to bridge strategy, execution, and enterprise value.
Enterprise Value Benchmarking
Compare your business against valuation multiple ranges to understand where you sit in the market and why.
Valuation Sensitivity Analysis
See how changes in earnings, margins, or assumptions move enterprise value—up or down.
Growth Strategy Lens
Connect operational improvements to valuation outcomes, helping you prioritize initiatives that matter most.
Simple, Transparent Logic
No black boxes. Every input and output is visible, traceable, and easy to audit.
Operator-Grade Design
Built for real decision-making, not academic valuation exercises.
Estimate your valuation multiple with a disciplined, fundamentals-driven framework
The Valuation Multiple Tool calculates an implied enterprise value multiple using a structured financial framework grounded in capital efficiency, cost of capital, and long-term growth. Rather than relying solely on market comps, it connects valuation directly to how effectively your business allocates capital.
Designed for CFOs, business owners, and strategy teams, this app shows how changes in ROIC, growth expectations, and WACC translate into measurable changes in enterprise value—helping you quantify the impact of better decisions. The framework aligns naturally with capital allocation, pricing, and investment decisions across the business.
Valuation Grounded in Fundamentals
Most valuation tools rely on market comps that don’t reflect your company’s true economics. This model derives valuation multiples from ROIC, WACC, and long-term growth—anchoring value in how capital is actually deployed.
Clear Inputs, Strategic Insight
Enter your company’s data and the tool generates an implied valuation multiple immediately. Clean input fields and structured guidance make it easy to connect capital efficiency and growth assumptions to enterprise value.
Built for CFOs and Operators
Designed for real-world decision-making, not academic theory. This app helps finance and strategy leaders understand how capital allocation, investment performance, and growth translate into valuation outcomes.
From inputs to enterprise value insight
Establish Your Baseline
Input your core financial metrics to establish a starting enterprise value range based on valuation multiples.
Analyze Value Drivers
Adjust assumptions to see how changes in performance, margins, or growth affect enterprise value.
Inform Strategic Decisions
Use the outputs to prioritize initiatives that drive valuation—not just short-term results.
Explore Valuation Sensitivity
Use the data table to see how the valuation multiple responds to changes in RONIC and WACC across a range of scenarios. This view highlights how improvements in capital efficiency or financing structure expand (or compress) enterprise value while holding long-term growth assumptions constant.
Key Features
Economics-Driven Valuation Logic
Calculates your implied EBITDA multiple using ROIC, WACC, return on new invested capital, and long-term growth. Every formula follows a clean, transparent framework used by institutional investors — no comps, no guesswork.
Strategic Scenario Analysis
Instantly see how changes in ROIC, growth, or WACC affect your valuation multiple. Identify which levers drive expansion, where value creation is constrained, and what strategic actions will generate the greatest lift in enterprise value.
Clear, Documented Assumptions
All assumptions — cost of capital, growth, reinvestment rates, and return thresholds — are clearly defined and easy to audit. No black-box logic, hidden formulas, or opaque calculations.
Operator-Focused Inputs
Purpose-built for CFOs and operators. Inputs reflect real decision variables rather than abstract academic assumptions, making the model intuitive for capital allocation discussions and board communication.
Presentation-Ready Output
Final valuation output is formatted for immediate use in investment memos, board decks, strategic plans, and valuation reviews. Clean charts and summaries make insights easy to communicate.
Pairs Seamlessly With Other AAF Apps
Works directly with the WACC Calculator and upcoming ROIC/NOPAT tools to create a unified capital allocation system. Shared logic ensures consistency across budgeting, valuation, and long-range planning.
What EBITDA Multiples Are Really Pricing
Valuation multiples reflect more than market sentiment. Over time, they converge around a company’s ability to generate returns on capital above its cost of capital and reinvest those returns at sustainable growth rates.
This framework mirrors how professional investors evaluate value creation across industries and transactions—tying enterprise value to capital efficiency, risk, and reinvestment economics rather than surface-level comparables.
The Valuation Multiple Tool makes these drivers explicit, allowing you to see why a business earns a given multiple and what must change to earn a higher one.
Why valuation decisions break down
Valuation discussions often rely on static multiples or intuition, leaving decision-makers without a clear link between performance, strategy, and enterprise value.
The Problem
Most valuation multiples come from deal comps or industry averages that have nothing to do with your company’s economics. They can swing wildly year to year, and they often mask whether value is actually being created. Without connecting return on capital, growth, and cost of capital to valuation, multiples become guesswork — not strategy.
The Solution
The Valuation Multiple Tool ties your valuation directly to the economics of your business — not market comps. By connecting ROIC, WACC, and long-term growth to your EBITDA multiple, it provides a defensible, economics-driven valuation grounded in true capital performance.
But the real value is in the strategic levers it exposes.
With built-in scenario capability, you can instantly see how changes in ROIC, WACC, or growth impact your valuation multiple — and identify which actions actually increase enterprise value. Whether you’re lowering WACC, improving returns on new investment, or shifting your growth strategy, the model shows the valuation impact immediately.
Executives gain a clear roadmap for value creation, and finance teams can finally quantify how capital allocation decisions translate into enterprise value.
FAQs
Finance teams, controllers, FP&A analysts, CFOs, valuation professionals, and business owners who want a defensible, economics-driven EBITDA multiple. It’s designed for anyone who needs to connect ROIC, WACC, and growth to enterprise value for investment cases, budgeting, M&A models, or board materials.
The EBITDA Valuation Multiple Tool runs natively in Microsoft Excel — no additional software is required.
To use the full functionality, you need:
- Excel for Windows or Mac
- Macros enabled (VBA)
- Ability to run local activation (no network transmission required)
If macros are disabled, the workbook opens in read-only mode until activated.
Licensing is simple. Each purchase covers one user, who may install the tool on up to two machines (typically a desktop and a laptop). When the file opens, your device is automatically recognized and activated. Activation happens locally on your machine — no data is transmitted.
You can add additional licenses at checkout, and larger teams can contact us anytime for enterprise licensing options.
If a machine isn’t licensed, the workbook opens in read-only mode until a valid license is added.
You receive the full Valuation Multiple Tool, including:
- Economics-driven framework using ROIC, WACC, and growth
- Built-in scenario analysis to test valuation levers
- Clear inputs, outputs, and documentation to help you get started
- Formatting suitable for decks, memos, and board materials
Everything is structured so you can move from setup to insight quickly.
Yes. Any refinements to the valuation methodology or improvements to the model will be included as free updates to the file version you purchased. When a revised version is released, you’ll be able to download the updated file.
You have full access to our Documentation resources, troubleshooting guides, and file re-downloads. If you need additional help, reach out — we’re here to make sure you get up and running quickly.
Yes. The Valuation Multiple Tool is designed to work seamlessly with our WACC Calculator and upcoming ROIC/NOPAT models. You can feed WACC directly from the calculator into this model and use the same assumptions across your valuation, budgeting, and capital allocation workflows for a consistent view of enterprise value.