
What Is SDE in Business? Meaning, Formula, and Example
SDE means seller’s discretionary earnings: net profit plus owner pay, perks, and legitimate add-backs. Here’s the formula, the example, and where broker SDE and lender SDE consistently diverge.
Practical intelligence for buyers who do not want to overpay, get misled, or learn the hard way.

SDE means seller’s discretionary earnings: net profit plus owner pay, perks, and legitimate add-backs. Here’s the formula, the example, and where broker SDE and lender SDE consistently diverge.

SDE means seller’s discretionary earnings: net profit plus owner pay, perks, and legitimate add-backs. Here’s the formula, the example, and where broker SDE and lender SDE consistently diverge.

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