Ecommerce stores typically sell for a multiple of SDE (seller's discretionary earnings - annual profit plus owner salary and personal add-backs). Content and SaaS-like stores command higher multiples; ad-dependent dropshipping commands lower.
Typically 2-4x annual SDE for healthy stores. Multiples rise with age (3+ years), diversification of traffic and suppliers, low owner involvement, and consistent growth. Ad-dependent or single-product stores sit at the low end.
Seller's discretionary earnings: net profit plus owner's salary plus personal expenses run through the business. It represents the total economic benefit a single owner-operator gets from the business.
Document SOPs so the business runs without you, diversify traffic beyond paid ads, lock in supplier agreements, clean up your books for 12+ months, and show a stable or growing trend. Each factor moves your multiple, and multiples matter more than profit tweaks.
Yes - we prepare a written valuation report analyzing your traffic mix, margin quality, risk factors, and realistic multiple range, delivered within 24 hours for $49.
Related: Ecommerce Profit Margin Calculator · Amazon FBA Profit Calculator · ROAS & Break-Even ROAS Calculator
Disclosure: some links on this page are affiliate links. Figures are estimates, not professional advice.