What is your business worth to a bank, and to a buyer?
Share your tax and accounting data. About 3 weeks later you get a value range from both sides, a transferability score, and the path that fits, including “not yet.”
Two views of value
Example values. Bank view: $3.0M to $3.5M. Buyer view: $3.4M to $4.1M. Up to $0.6M of the buyer view is above what a bank would lend against.
A seller note or partner capital can fill the gap a bank won’t lend against. That is the path called Take some money off the table.
Why start with the number
Most sales fail on price, so we start with the number.
51%
of owners of US employer businesses were 55 or older.
Source: U.S. Census Bureau, Annual Business Survey 2019 (data year 2018)
49%
of owners want to exit within the next five years.
Source: Exit Planning Institute, 2023 National State of Owner Readiness Report, p. 15
22–26%
of deals that don’t close fail on the seller’s price expectations, the top reason at every deal size.
Source: IBBA and M&A Source, Market Pulse Report, Q4 2022, p. 22
What you get
One report, built from your own tax returns and books, that a lender or buyer can check.
- Normalized EBITDA
- EBITDA is profit before interest, taxes, depreciation and amortization. Normalized EBITDA adjusts it for one-time costs and owner pay above a market salary, so it shows what the business earns for a new owner.
- Bank view
- What lenders would likely finance a buyer to pay, based on the debt your earnings can support.
- Buyer view
- What a strategic or financial buyer might pay, based on comparable deals.
- Transferability score
- A score from 0 to 100 for how well the business would run, and keep its customers, under a new owner.
- Owner dependence
- How much of the revenue, relationships and know-how sit with you personally, and what moving them to someone else would be worth.
- Recommended path
- Which of four paths fits now, including “not yet,” with the reasons and what would change it.
This is not a Quality of Earnings report. For scale, a full one, the kind buyers commission, typically costs US$15,000 to US$40,000.
Four paths, including “not yet”
The report recommends one. You choose.
Your underwriting report
recommends one of four paths
Sell to a partner now
Direct acquisition
If underwriting shows a fit, we propose a buyout together with family offices and independent sponsors.
Take some money off the table
Partial liquidity
Sell part of the business and keep a stake, together with family offices and independent sponsors.
Sell on the open market
Traditional sale
If the open market suits you better, we refer you to an independent M&A advisor and hand over your underwriting file.
Not yet
Build value first
We show what to fix first, such as owner dependence, records or customer concentration, and when to come back.
No offer is made before underwriting. Any proposal is subject to partner approval and final agreements.
What you pay on each path
On every path
- What you pay
- US$7,500 underwriting fee; your US$1,000 deposit counts toward it
- Refund cutoff
- Full refund any time before your kickoff call.
| Path | What you pay | Refund cutoff | Fee credit |
|---|---|---|---|
| Sell to a partner now | US$7,500 underwriting fee; your US$1,000 deposit counts toward it | Full refund any time before your kickoff call. | Fully credited if TorchPass or one of our capital partners completes a transaction with you. |
| Take some money off the table | US$7,500 underwriting fee; your US$1,000 deposit counts toward it | Full refund any time before your kickoff call. | Fully credited if TorchPass or one of our capital partners completes a transaction with you. |
| Sell on the open market | US$7,500 underwriting fee; your US$1,000 deposit counts toward it | Full refund any time before your kickoff call. | Not credited |
| Not yet | US$7,500 underwriting fee; your US$1,000 deposit counts toward it | Full refund any time before your kickoff call. | Not credited |
How it works
Check if you fit
A few questions. No documents and no numbers to look up.
Pay a refundable deposit
US$1,000. Full refund any time before your kickoff call.
Kickoff call with Jon
45 minutes. Video or phone, or an on-site visit if you’re within driving distance. Bring your CPA if you like.
Share your numbers
Authorize your IRS transcripts or your books within 14 days, or have your CPA send them.
Underwriting
About 3 weeks from the day your data arrives, and about 2 hours of your time in total.
Review call and your choice
Jon walks you through the report. You choose a path, or “not yet.” Nothing binds you.
Founding Owner underwriting
10 seats, at most 4 per industry
We keep it small so Jon runs every engagement personally.
US$1,000 refundable deposit
- US$7,500 underwriting fee. Your deposit counts toward it.
- The balance of US$6,500 is due when you receive your report, on every path, including “not yet”.
- Fully credited if TorchPass or one of our capital partners completes a transaction with you.
Full refund any time before your kickoff call.
Included
- Kickoff call with Jon
- Read-only access to your tax and accounting data
- Normalized EBITDA
- Value range: bank view and buyer view
- Transferability and owner-dependence scores
- Recommended path
- Review call
For owners with EBITDA of US$500K or more who expect to step back within 5 years.
Opening mid-November 2026. Deposits open after legal review; join the waitlist to hear first.
Questions about the terms? Talk to Jon. contact@torchpasscompanies.com
Who you’ll work with
Jon runs your kickoff call.
Jon Cheung
Co-founder & CEO
A career spent valuing businesses: valuation work, private-equity diligence, running an operating portfolio, and advising owners on sales.
Larry Peng
Co-founder & CTO
Is building the TorchPass underwriting platform. Has led data-science and machine-learning teams.
Calvin Tampubolon
Co-founder & COO
More than 20 years in finance, operations, and integrating businesses after a sale.
Questions owners ask
Someone offered to value my business for free. Why pay?
Our fee is for the analysis itself. The report starts from your tax returns and books, shows a bank view and a buyer view side by side, and shows how each number was reached, so your CPA or lender can check it line by line.
What if the range is lower than I hoped?
The fee isn’t refunded over a low number; that is what keeps the number honest. You still get the full report: normalized earnings, both views of value, and the specific things that pull the price down, with what fixing each is worth. The “not yet” path exists for exactly this: a plan for the next 12 to 24 months.
How long does it take, and how much of my time?
About 3 weeks from the day your data arrives, and about 2 hours of your time in total: the kickoff call, sharing your numbers, and the review call.
What if I never sell?
That’s a fine outcome. The report is yours to keep and to use with any lender, buyer or advisor. “Not yet” is one of the four paths: we show what to fix first and when to come back.
Can I get my deposit back?
Full refund any time before your kickoff call. Refunds are sent within 5 business days. The deposit counts toward the US$7,500 fee.
When is the fee credited?
Fully credited if TorchPass or one of our capital partners completes a transaction with you. A sale arranged by an independent advisor on the open-market path doesn’t count.
Is this an appraisal?
No. It is financial analysis. It is not a formal appraisal, not an offer, and not legal, tax or investment advice.
Do you buy businesses?
If underwriting shows a fit, we can propose a purchase or a partial purchase together with family offices and independent sponsors. No offer is made before underwriting, and any proposal is subject to partner approval and final agreements.
Join the waitlist
Free one-page Transition Readiness self-check by email