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App Valuation Calculator

Estimate your app's selling-price potential from its earnings, category, growth, product quality, and buyer risk.

Free to use · No sign-in · Your inputs stay in your browser

Built from the whatsthe.app valuation framework: annual SDE × a market multiple, adjusted for the factors buyers care about.

Read the valuation guide →
1

Financial baseline

Use normalized figures from a representative month. Enter net proceeds, or gross revenue to calculate store and Web2App payment fees.

Choose gross revenue to model how payment fees affect profit.

$

Revenue across stores and web before payment fees, excluding sales tax and refunds. Update this amount when switching from net.

$

Hosting, APIs, marketing, support, contractors, and web funnel costs. Exclude payment fees already deducted from revenue.

$

Owner salary or personal benefits already included in costs.

$

Non-recurring legal, redesign, equipment, or launch costs.

Revenue split & payment fees

Split your gross revenue between web checkout and app stores. Changing either share updates the other to total 100%.

%

$0 / year paid on the web via Stripe or another processor.

%

$60,000 / year paid through Apple / Google billing.

%

3% is an example. Include processor fees (including fixed charges as a percentage) and any applicable platform fees.

The tiered estimate applies 15% to the first $1M of annual store revenue, then 30% only to the excess.

This simplified model uses one $1M allowance on combined annual store revenue; web revenue does not count toward it. Use a custom rate if your Apple / Google terms or developer-account eligibility differ.

3.0x–5.0x baseline · Recurring revenue and low churn

Churn affects subscription and mixed-revenue apps.

Annual net revenue

$51,000

Operating margin

76%

Annual SDE

$39,000

2

Growth & retention

Reliable growth and sticky revenue raise buyer confidence. Decline and churn reduce it.

%

Use the last 12 months versus the preceding 12 months.

%

Below 5% is strong; above 10% is a material risk.

Multiple sources and platforms reduce concentration risk.

%

A 70%+ dependency on paid ads typically reduces value.

3

Quality & transferability

Choose the option you could defend with code, analytics, documentation, and store data during due diligence.

Modern, documented, maintainable code reduces buyer risk.

Ratings, reviews, rankings, and organic discovery matter.

A longer, healthy history makes performance easier to trust.

Direct searches, an email list, community, or valuable handles add defensibility.

Documented, automated operations are easier to transfer.

Reliance on a changeable third-party API creates risk.

Include IP, privacy, policy, trademark, or active dispute risks.

How to use the estimate

A starting point, not a promise

Use the likely value to set an initial expectation and the full range to plan negotiations. Buyers will still verify revenue, expenses, churn, code quality, legal ownership, and transferability during due diligence.

How does the app valuation calculator work?

For profitable apps, the calculator estimates annual Seller's Discretionary Earnings (SDE), applies a category-specific multiple, and adjusts that multiple for growth, churn, revenue diversity, product quality, owner involvement, and risk.

What is SDE?

Seller's Discretionary Earnings is the annual economic benefit to one owner-operator. Here it is calculated as annual net revenue minus annual operating costs, plus eligible owner and one-time add-backs.

Does a Web2App flow increase my app valuation?

It can: lower payment fees increase net revenue and SDE. Split gross revenue between Web2App and app stores, then enter your web payment fee. The tiered estimate charges 15% on the first $1M of combined annual store revenue and 30% on the excess; web revenue is excluded from that threshold. Choose a custom store rate if your terms differ. Include web funnel expenses in operating costs. Net revenue already includes fee savings, and Web2App adds no automatic multiple bonus.

Is this a formal valuation?

No. It is a directional estimate for planning and negotiation. A real sale price depends on buyer demand, verified financials, due diligence, deal terms, and assets not captured by a short form.

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