What is a good EBITDA margin for a small business?

Most healthy small businesses run an EBITDA margin between 10% and 20%. Service businesses and SaaS often run higher (20–35%+), while restaurants and retail typically run 10–15%. CFO Grade compares your EBITDA margin to industry-specific benchmarks across 16 sectors.

What DSCR do lenders look for?

Most SBA and commercial lenders require a Debt Service Coverage Ratio (DSCR) of at least 1.25x. Construction surety bonds often require 1.5x or higher. A DSCR below 1.0x means your EBITDA does not cover your annual debt payments.

How does CFO Grade calculate the letter grade?

CFO Grade scores 24+ financial ratios across profitability, liquidity, leverage, and efficiency — weighted by industry. The composite score maps to a letter grade from A+ to F. The full methodology and benchmark sources are described in the report and the disclaimer page.

Yes. The full analysis, 24+ ratios, letter grade, and industry benchmarks are completely free with no signup. Optional paid features include a $9 PDF export and a $19 Pro Pass with AI-generated CFO memo and 30 days of unlimited PDFs.

Do I need to create an account?

No account is required. Your numbers stay on your device unless you explicitly opt in to anonymized peer benchmarking. Pro entitlements are bound to your device with a restore link you can email yourself.

Is CFO Grade financial advice?

No. CFO Grade provides educational insights for business owners and analysts. It is not financial, tax, legal, or investment advice. Always verify the output with a qualified professional before making business decisions.

How does CFO Grade estimate what my business is worth?

Every report includes an Enterprise Value range built from your industry's typical EV/EBITDA multiple applied to your EBITDA, adjusted for size (Duff & Phelps size-discount methodology) and quality (your CFO Grade). The paid report unlocks the lender view vs. buyer view breakdown, implied equity to owners, sensitivity analysis, and full source-cited methodology. The dedicated valuation calculator lives at /valuation with industry-specific pages for 11 sectors.

Why does my business valuation change when I rerun the report?

The range moves with three things: your EBITDA (the biggest driver), your revenue size band (which sets the size discount), and your CFO Grade quality factor. When you run a second report in a later period, the Enterprise Value delta is shown prominently — 'You built $220,000 of value since Q3' or 'You lost $180,000 this quarter' — so you can watch the number that actually matters to lenders and buyers over time.

Agriculture

Yields up. Cash down? Find out exactly where it's going.

Farms, ranches, growers — equipment, fuel, and weather risk make this industry uniquely sensitive to leverage and working capital. Get graded.

Free

Industry benchmarks

No signup

Worth quotingFSA-guaranteed ag loans typically require Debt/Assets below 50% and DSCR above 1.25× — leverage discipline is more enforced in agriculture than in any other sector.

Built for owners and analysts who say…

"Equipment debt and operating line keep stacking up.
"Need a DSCR check before the spring operating loan renewal.
"Not sure if your debt-to-assets is healthy or alarming.

What you'll get

DSCR and Debt-to-Assets check for ag lenders
Working capital read on operating-line health
PDF for your ag lender or FSA review
Plain-English memo on which costs to attack

Common questions about agriculture financials

What DSCR do ag lenders require?+

Most ag lenders require DSCR of 1.25× minimum. FSA-guaranteed operating loans accept 1.15× but with stricter working-capital covenants. Production loans for high-input years (planting season) often require pre-approved DSCR projections rather than trailing actuals.

What is a healthy Debt/Assets ratio for a farm?+

Debt/Assets below 50% is considered healthy in agriculture. 50–65% is acceptable for growth phases. Above 65% materially raises borrowing cost and limits operating-line capacity. FSA and farm-credit lenders consider leverage discipline closely.

Why is my farm cash-poor despite high yields?+

Yields don't equal cash. Equipment debt, fuel, fertilizer, and seed get paid in spring; revenue arrives in fall. Operating-line interest accrues all season. If working capital and current ratio are weak, the cash gap widens every cycle.

How do I prepare financials for an operating-loan renewal?+

Lenders want: trailing 3 years of financials, current balance sheet, DSCR projection for the coming cycle, debt schedule, and a budget that ties to historical performance. CFO Grade builds the ratio analysis your lender will compute first.