Free SaaS calculator

SaaS valuation calculator

Model a directional valuation range and see which operating factors move your ARR multiple.

$
%
years
Estimated valuation range$480,000–$720,000Base case $600,000 · 5.00× ARR
Annual recurring revenue$120,000
Applied multiple5.00×

Educational estimate only — not a formal appraisal. Actual transaction value depends on diligence, profitability, transferability, market conditions and buyer-specific terms.

Frequently asked

How is a SaaS valuation calculated?

This calculator annualizes recurring revenue, applies a growth-based ARR multiple, and adjusts that multiple for margin, churn, operating history, concentration, and category.

Is this a formal business appraisal?

No. It is an educational scenario model. A real transaction depends on diligence, profitability, transferability, market conditions, and negotiated terms.

Does RevenueBug use listing asking prices as completed-sale data?

No. Asking prices are not completed transactions. The calculator uses transparent editable assumptions instead of presenting asking prices as market evidence.

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How the estimate works

The model starts with annual recurring revenue and a growth-based multiple. It then applies modest, visible adjustments for gross margin, churn, operating history, customer concentration, and business category. The range is deliberately wider than the base case because private-company transactions are negotiated, not mechanically priced.

Use recurring revenue—not every payment

If your business includes services, lifetime deals, annual prepayments, or one-time purchases, do not treat all trailing revenue as MRR. Normalize only contracted, recurring subscription value before using an ARR multiple.