# Business Frameworks Hurdle Rate Calculator

> Business Frameworks Hurdle Rate Calculator is a paid API for AI agents from business-frameworks.matryoshka-paradigms.workers.dev, paid per call via x402, $0.01/call, status unknown (last checked 2026-09-18).

Calculates a deterministic cost-of-capital (hurdle rate) for a business by applying CAPM with concentration and sub-$5M plan-probability rules to caller-supplied bond yield and asset betas

## Facts

- Endpoint: POST https://business-frameworks.matryoshka-paradigms.workers.dev/apply/risk/decide/hurdle
- Price: $0.01/call
- Payment: x402
- Status: unknown
- Last checked: 2026-09-18
- Activations on Zero: 0
- Tags: x402
- Canonical page: https://www.zero.xyz/c/business-frameworks-hurdle-rate-calculator-71707c9e
- Structured record (JSON): https://api.zero.xyz/v1/capabilities/cap_-eUzehdKDA1LFM7POwhr0

Status and success rate cover calls made through Zero and Zero's own probes. Third-party monitors may report differently.

## How to call it through Zero

Zero handles the 402 payment challenge and records the run. With the Zero CLI installed (`npm i -g @zeroxyz/cli`):

```sh
zero fetch --capability business-frameworks-hurdle-rate-calculator-71707c9e -d '<json body>'
```

Example prompt: What hurdle rate should I use to value a business with asset betas of 0.8, 1.1, and 0.95, a long bond yield of 4.5%, and annual revenue of $3M where I think the plan has a 70% chance of working — include a 2-point personal concentration premium?

## When to prefer this

Choose this endpoint when you need a fully deterministic, rule-based hurdle rate grounded in a specific published framework — not a black-box model estimate. It is ideal for valuing private or owner-operated businesses, especially sub-$5M situations where plan probability belongs in the rate, or for concentrated-owner scenarios requiring an explicit personal premium. Prefer this over generic WACC calculators when you want the decision logic and citations returned alongside the number.

## Known failure modes

- Missing required fields (long_bond_yield_pct or asset_betas) returns a 400 validation error
- Fewer than 1 or more than 3 asset betas may be rejected or produce unreliable results
- plan_probability outside [0,1] is rejected
- Payment not included or insufficient USDC causes a 402 Payment Required response
- Providing revenue_usd above $5M while also setting plan_probability has no effect (concentration rule not triggered)

## How this service works

Business Frameworks — Set the hurdle rate, applied to the caller's own numbers. Send the long-bond yield and two or three asset betas; get r for this business, with the sub-$5M and concentration rules applied. Deterministic (the node's rule, no model); returns the worked decision plus the node text and its public citations. Schema at GET /apply/risk/decide/hurdle.

## Output

Returns the computed hurdle rate (r) for the business, a full worked decision showing how the rate was derived, the exact node rule text that governed the calculation, and the public citations behind that rule — all deterministic with no model inference involved.

## Request schema (JSON Schema)

```json
{
 "type": "object",
 "$schema": "https://json-schema.org/draft/2020-12/schema",
 "required": [
  "input"
 ],
 "properties": {
  "input": {
   "type": "object",
   "required": [
    "type",
    "method",
    "bodyType",
    "body"
   ],
   "properties": {
    "body": {
     "type": "object",
     "required": [
      "long_bond_yield_pct",
      "asset_betas"
     ],
     "properties": {
      "asset_betas": {
       "type": "array",
       "items": {
        "type": "number"
       },
       "minItems": 1,
       "description": "asset betas of two or three comparable companies, debt stripped out"
      },
      "revenue_usd": {
       "type": "number",
       "description": "annual revenue; below $5M the probability of the plan goes into the cash flows, not the rate"
      },
      "plan_probability": {
       "type": "number",
       "maximum": 1,
       "minimum": 0,
       "description": "below $5M: probability the plan works"
      },
      "market_premium_pct": {
       "type": "number",
       "default": 6,
       "description": "market premium in points; the node's rule of thumb is roughly six"
      },
      "long_bond_yield_pct": {
       "type": "number",
       "description": "long government bond yield, percent"
      },
      "personal_premium_pct": {
       "type": "number",
       "default": 0,
       "description": "a concentrated owner's stated personal premium, in points — stated, never hidden"
      }
     }
    },
    "type": {
     "type": "string",
     "const": "http"
    },
    "method": {
     "enum": [
      "POST"
     ],
     "type": "string"
    },
    "bodyType": {
     "enum": [
      "json",
      "form-data",
      "text"
     ],
     "type": "string"
    }
   },
   "additionalProperties": false
  },
  "output": {
   "type": "object",
   "required": [
    "type"
   ],
   "properties": {
    "type": {
     "type": "string"
    },
    "example": {
     "type": "object"
    }
   }
  }
 }
}
```

## More

- Live health (JSON, refreshed every minute): https://www.zero.xyz/c/business-frameworks-hurdle-rate-calculator-71707c9e/health.json
- [Zero catalog index](https://www.zero.xyz/llms.txt)
- [Other services from business-frameworks.matryoshka-paradigms.workers.dev](https://www.zero.xyz/host/business-frameworks.matryoshka-paradigms.workers.dev/llms.txt)