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ARR Valuation Sensitivity Calculator

Estimate valuation sensitivity to ARR and revenue multiple assumptions (simple 3x3 grid).

ARR multiple valuation is fast: enterprise value ~ ARR x multiple. But both ARR and multiples move with market conditions, pricing, and retention.

A small sensitivity grid helps you see how fragile (or robust) the valuation is to reasonable changes in ARR and the multiple.

Prefer an explanation- Read the guide.

Base ARR

ARR step

Uses +/- step around ARR base to create a 3x3 grid.

Base multiple

Multiple step

Uses +/- step around the multiple base to create a 3x3 grid.

Tip: you can type commas (e.g., 10,000).

Example

Using the default inputs, the result is:

$14,400,000.00

Enterprise value ~ ARR x multiple; Sensitivity varies ARR and multiple around a base case

This is a heuristic. Real valuation depends on growth, margin, retention, and market conditions.
Uses enterprise value (EV) as ARR x multiple (simplified).
Only shows a small grid; use broader scenarios for full planning.

Is this a full valuation model-

No. This is a multiple-based heuristic. For deeper analysis, use DCF or a comps model that reflects retention, growth, margin, and risk.

Why sensitivity on ARR as well as multiple-

ARR can change with pricing, churn, and mix. The multiple can change with market conditions and your growth/retention profile. Both move in practice.

How to use ARR valuation sensitivity

Treat the grid as a scenario range, not a precise estimate.
Pair valuation scenarios with unit economics (payback, burn multiple) to ensure growth is sustainable.
Use a clean ARR definition (recurring only) to avoid inflating the base case.