AI Blocks › Handle money and investing
Business value range calculator
Paste a business's owner earnings. Get a no-growth floor value and low, middle and high growth values, with what each assumes.
Business value range calculator is a free AI skill for the job "Handle money and investing". Give the instructions to an AI assistant that supports the required files and tools, then review its output.
Free · No account · Made by AI Blocks · Level: advanced · Thinking: high
What it does
A business is worth the cash an owner can take out of it over its life, brought back to today's money. The idea is simple. The work is in being honest that nobody knows the future cash. So this skill does not give one number. It first asks whether the cash can be estimated at all, and if not, says the business is too hard to value. Otherwise it uses a safe long-term rate, rounded up when rates are low, and works out a floor that assumes no growth. Then it builds three growth cases, each with a fast stage and a slow stage, and writes down what has to be true for each. A second run at a higher rate shows how much the answer leans on the rate. It gives no buy or sell calls.
You give it
- Low, middle and high owner earnings, with the growth history if you have it
- The long-term bond yield today (optional)
- A price or stake value to place on the table (optional)
- Your question (optional)
You get
- A call on whether the cash can be estimated
- The rate used and why
- A no-growth floor value
- Low, middle and high values with the growth each assumes
- A rate sensitivity row and where a given price falls
Use it when
- You know a business's owner earnings and want to know what it is worth to an owner.
- You have been given a price and want to see what growth it asks you to believe.
- You want to see how much of a value is the business as it is and how much is hope.
How to use it
- Start a chat with the skill. Open it if you added it to your AI, or copy it and paste it in.
- Paste the owner earnings from the calculator, or your own figures.
- Give the long-term bond yield today and any price you want placed.
- Read the floor first, then the three cases, then the cases' conditions.
- Take the table to "Bad-year break-even tester" and "Price versus value gap judge".