How would you come up with an approximate valuation for this business?

How would you come up with an approximate valuation of a 7-year-old U.S. music school business that has $224k gross revenue, made a small profit of $10k last year, and owes $120k in loans? The profits (after all expenses) were $5k, $3k, and $0 in the previous years. The business is well-known in the area and has a solid reputation.