Advanced Finance
LBO Returns Calculator
A buyout in one page: buy at a multiple, fund part of it with debt, grow the earnings, pay the debt down, sell at a multiple. The equity return is what is left — and this shows how much of it comes from the business versus the leverage.
Inputs
- Purchase EBITDA
- Entry multiple
- Debt raised
- Exit multiple
- Years held
- EBITDA growth per year
Educational disclaimer: Outputs are simplified educational estimates built from the numbers you enter — they are not financial, legal, tax, or investment advice, and real decisions deserve verified figures and qualified professionals.