This paper provides a literature review of three complementary research areas: Business Models, Business Applications of Agent Based Modeling and Digital Business Characteristics. Based on these reviews, a Dynamic Agent Based Modelling Framework (DYNAMOD) is developed for performing Digital Business Simulations. This Framework is customisable and computationally implements key digital business characteristics including network effects, online and offline word of mouth, pricing strategies, amongst other features of the Digital Business Environment. DYNAMOD can be a generic framework for developing a variety of forcasting and simulation models that can provide a new computational approach to Digital Business Modeling and Analysis.