Established 2026 · New York
Answer 6 sections about your agency and get an instant, data-backed valuation range based on actual 2025–2026 lower-middle-market M&A transactions. No email required. Completely confidential.
TARGET EBITDA
$500k - $3M
ENTRY MULTIPLE
2x - 4x
EXIT TARGET
6x - 10x+
PORTFOLIO EXIT WINDOW
36 - 60 Months
STATUS
+ Actively Acquiring
Add back: owner salary above market, personal expenses, one-time costs. Estimated 20–35% of revenue if unsure.
How dependent is the business on you personally?
Don't need to sum to 100% — we normalize.
This is a directional range. A real offer needs a 30-minute call and 3 years of financials. NDA signed before any numbers discussed. LOI in under 30 days.
Start Confidential Conversation →The most important thing to understand about agency valuation is this: buyers do not pay for revenue. They pay for profit. Specifically, they pay a multiple of your adjusted EBITDA — Earnings Before Interest, Taxes, Depreciation, and Amortization.
The current lower-middle-market range for digital marketing agencies is 2× to 4× adjusted EBITDA, based on closed transactions in 2024–2026. The gap between a 2× and a 4× valuation on a $500K EBITDA business is exactly $1,000,000. Understanding what drives that number is the highest-value knowledge you can have before entering a sale process.
Why adjusted EBITDA, not revenue? Most agency owners pay themselves above-market salaries, run personal expenses through the business, and take on non-recurring costs that suppress reported profit. A buyer normalizes these out. The result — your adjusted EBITDA — is almost always materially higher than your tax return shows.
Present your add-backs as a clean table alongside your P&L. "Reported EBITDA: $320K. Owner add-back: +$120K. Personal expenses: +$28K. One-time legal: +$45K. Adjusted EBITDA: $513K." One page. This single document transforms a marginal deal into a compelling one.
Every buyer uses the same rough model. Low multiple (2×) = red flags. High multiple (4×+) = institutional characteristics. Here is what separates them:
| Agency Profile | Multiple Range | Driver |
|---|---|---|
| Generalist, project-based, high owner dependency | 2.0× – 2.5× | Lowest transferability |
| Mixed retainer/project, moderate concentration, stable team | 2.5× – 3.0× | Market average |
| Retainer-dominant, strong retention, management team in place | 3.0× – 3.5× | Institutional quality begins |
| Retainer-dominant, niche vertical, low concentration, 15%+ growth | 3.5× – 4.0× | Premium asset |
| AI-integrated, proprietary method, 20%+ growth, autonomous ops | 4.0× – 5.0×+ | Strategic platform candidate |
The calculator gives you a range. A real conversation gives you a number you can take to the bank. We sign NDAs before any numbers are discussed, we do not re-trade, and we close on time. If your agency generates recurring revenue and you are open to a conversation — we want to hear from you.