Business Valuation
Seller's Discretionary Earnings vs EBITDA for Small Business Valuation
SDE and EBITDA measure different buyer scenarios, not competing valuations of the same business.
Kwame Petrova
Senior Writer · · 13 min read
SDE and EBITDA measure different buyer scenarios, not competing valuations of the same business.
Different buyer types screen acquisitions by completely different criteria, not just price.
Private equity dominates sub-$50M exits, but strategic buyers may pay more if synergies are real.