Instant IRR Calculator
Calculate the IRR of buying a business based on the multiple and the approximate growth rate.
Estimated IRR
33.34%
Total Return on Investment
266.67%
The Internal Rate of Return (IRR) is the annualized return on your investment, taking into account the time value of money. A higher IRR indicates a more profitable investment. This assumes you sell at the same multiple after the holding period.
Year-by-Year Breakdown:
Year 0: $250,000 (Purchase at $750,000)
Year 1: $250,000
Year 2: $250,000
Year 3: $250,000
Year 4: $250,000
Year 5: $250,000 (Exit at $750,000)
Calculating...