Comparable Sales Evidence in Australian Business Valuations

Comparable sales evidence is one of the most practical inputs in an Australian business valuation because it shows how real buyers and sellers have priced similar businesses in arm’s length transactions. For privately held businesses, especially SMEs, transaction evidence helps a valuer test assumptions, cross-check earnings multiples, and determine whether an indicated value is consistent […]

How Interest Rates Affect Australian Business Valuations

Interest rates have a direct and measurable impact on business valuations in Australia because they influence discount rates, capitalisation rates, buyer required returns, and ultimately the multiples paid for profits and revenue. When the cash rate rises, valuation calculations generally become more conservative, as investors and lenders demand a higher return for taking risk. When […]

Owner’s Add-Backs and Normalisation in Australian SME Valuations

Owner’s add-backs and normalisation adjustments are central to any rigorous business valuation of an Australian SME. They determine whether reported earnings reflect the true maintainable earnings of the business, which in turn affects EBITDA multiples, SDE calculations, discounted cash flow outcomes, and ultimately the price a buyer or lender may treat as fair market value. […]