EBITDA Calculator for Home Service Businesses
Calculate your adjusted EBITDA — the metric PE firms and strategic acquirers use to value home service businesses above $5M in revenue.
EBITDA vs. SDE: Which Applies to Your Business?
Use SDE when:
- • Revenue under ~$5M
- • Owner works in the business
- • Individual or small operator buyer
- • SBA-financed transaction
Use EBITDA when:
- • Revenue $5M+
- • Management team in place
- • PE firm or strategic acquirer
- • Multiple locations or platform deal
Step 1 — P&L Summary
Step 2 — Normalization Adjustments
Add back non-recurring or above-market expenses to arrive at “adjusted EBITDA” — what PE buyers use.
Step 3 — EBITDA Multiple
PE firms and strategic buyers typically pay 4x–10x EBITDA for home service businesses, depending on size and recurring revenue quality.
SDE Comparison (optional)
Enter the owner salary to see how EBITDA compares to SDE (used for owner-operated businesses).
PE Buyers Pay EBITDA Multiples. Let's Talk About Yours.
Jason Taken works with PE-backed platforms and strategic acquirers across all 28 home service verticals. He knows exactly what adjusted EBITDA they'll accept and how to position your numbers.
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