Typical Returns
The following chart shows typical returns for Main Street and mid-market businesses and their corresponding multiples.
Business Valuation: Converting ROI to a Multiple | |||
ROI | Multiple | Main Street Businesses | Mid-Market Businesses |
100% | 1.0 | β | |
50% | 2.0 | β | |
33.33% | 3.0 | β | |
25% | 4.0 | β | |
20% | 5.0 | β | |
16.66% | 6.0 | β | |
14.2% | 7.0 | β | |
12.5% | 8.0 | β |