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Business valuation tool

Put in what the business earns, what it owns and how long the lease has left, and this works out an indicative range using the two methods island buyers actually argue over: an earnings multiple, and assets plus goodwill. Every step is shown so you can check the arithmetic and change the assumptions.

Indicative only. This is a rule-of-thumb calculator, not a valuation, an appraisal or investment advice. It cannot see the lease, the licences, the tax position or the staff liabilities — and those decide real prices. Obtain an independent professional valuation before you buy, sell or raise against a business.

The business

Small independents change hands on fit-out plus a modest earnings multiple; the coffee machine is worth less than the lease.

Rp 340.000.000

After rent, wages, BPJS and tax — not gross margin.

Counted from today, before any extension option.

What a buyer would pay for the kit as it stands, not what it cost new.

Indicative range

Rp 1.41BRp 1.47B

Midpoint Rp 1.438.080.000. The low end is whichever method values it lower — buyers open there, sellers open at the other.

Annual net profit
Rp 744M
Net margin
18.2%
Effective multiple
1.89×
Revenue per staff
Rp 371M

Method 1 — sector earnings multiple

Annual net profit multiplied by a sector rate, then adjusted for trading history and lease length.

Annualise the profit

Rp 62.000.000 per month × 12

Rp 744.000.000

Sector rate — café or bakery

Typical multiple of annual net profit for this sector in Bali

1.80×

Trading history adjustment

Six to ten years — proven through more than one downturn.

× 1.05

Lease adjustment

Six to ten years — the range most island buyers are comfortable with.

× 1.00

Effective multiple

1.80 × 1.05 × 1.00

1.89×

Method 1 value

Rp 744.000.000 × 1.89

Rp 1.406.160.000

Method 2 — assets plus goodwill

What the kit is worth today, plus a number of months of net profit for the name, the team and the trade.

Equipment and fit-out

Second-hand value as it stands, not replacement cost

Rp 850.000.000

Goodwill period

10 months for this sector, adjusted × 1.00 for the lease

10 months

Goodwill value

Rp 62.000.000 × 10 months

Rp 620.000.000

Method 2 value

Rp 850.000.000 + Rp 620.000.000

Rp 1.470.000.000

Check these before you rely on the number

  • Severance for 11 staff accrues with length of service and is not in either figure above. Price it separately with an accountant.

What is actually on the market

Asking prices published by sellers on Pasaran. Asking prices are not sale prices, and none of these figures are audited.

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How to use this number

Treat the range as an opening position, not a price. On the island the same trade sells for very different money depending on the lease, whether the licences transfer with the entity, how much of the profit depends on the departing owner, and how exposed the buyer is to accrued staff severance.

Before any offer, get twenty-four months of bank statements, the lease with its assignment clause, the NIB and operating licences in the entity’s name, and two years of SPT filings — then have an accountant and an Indonesian lawyer review them. This calculator is indicative only and is not a substitute for an independent professional valuation.