California
$2,350,000
California
$2,350,000
Sacramento County, CA
$1,850,000
Orange County, CA
$1,249,000
Central Valley, CA
$1,100,000
San Bernardino County, CA
$3,500,000
REAL ESTATE INCLUDED
California
Cash Flow: $353,399
Alameda County, CA
$9,000,000
California
Cash Flow: $630,000
California
Cash Flow: $705,000
San Francisco County, CA
$250,000
California
San Diego County, CA
$3,500,000
North Hollywood, CA
$1,585,000
Thousand Oaks, CA
$229,899
Santa Rosa, CA
$160,000
Fred Mercuro
Pacific Business Advisors
Serving Los Angeles County, CA
Pacific Business Advisors is a full service Financial Intermediary and Business Broker. As such we function as a middleman between Sellers and Buyers of Businesses…both Main Street Enterprises and Middle Market Companies. Affiliated businesses of Pacific Business Advisors include: the law firm of Michael T. Chulak & Associates, including Immigration attorneys focused on packaging various visa types with the purchase of a qualifying business, along with both First Nationwide Accounting Services, and Union America Insurance Agency.
Lassen County, CA
$1,600,000
Madera County, CA
$350,000
Yolo County, CA
$375,000
Los Angeles County, CA
$1,360,000
REAL ESTATE INCLUDED
Bellflower, CA
$1,100,000
California
Cash Flow: $750,000
Los Angeles County, CA
$2,375,000
San Francisco, CA
$2,300,000
Sacramento County, CA
$800,000
San Francisco County, CA
Cash Flow: $273,442
California
California
Cash Flow: $277,000
California
Cash Flow: $422,000
California
$2,500,000
Los Angeles County, CA
$775,000
California
$799,000
Los Angeles County, CA
$299,000
Sacramento County, CA
$500,000
Ventura County, CA
$700,000
Los Angeles County, CA
$2,500,000
Princeton, CA
$299,000
Los Angeles, CA
$645,000
California
Cash Flow: $201,000
San Martin, CA
$550,000
Kern County, CA
$500,000
Santa Clara County, CA
Cash Flow: $1,302,476
California
MOONEY LEE
Action Realty Task, Inc
Serving Orange County, CA
Shasta County, CA
$1,000,000
Alameda County, CA
$8,000,000
Alameda County, CA
$1,000,000
California
$599,000
California
California
$995,000
San Diego, CA
$74,400
Riverside County, CA
$8,500,000
The building and construction industry is diverse. It involves large companies that take care of all the work from breaking ground to putting on the final coat of paint. It also encompasses smaller companies that specialize in a particular area such as HVAC, concrete, or plumbing.
If you’re looking to buy or sell a construction business in California, it helps to have some context on pricing and valuation of these companies in the business for sale market. To that end, we have aggregated listing data from California to surface key financial benchmarks and valuation multiple ranges. This information can provide a basis for evaluating construction businesses for sale and help guide owners toward valuing their own business.
Market Overview
Number of Businesses Analyzed |
165 |
Median Asking Price |
$837,500 |
Median Reported Revenue |
$1,700,000 |
Median Reported Earnings |
$340,000 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
California Construction Business Valuation Multiples
Range |
Revenue |
Earnings (SDE) |
Lower Quartile |
0.35 |
2.00 |
Median |
0.49 |
2.88 |
Upper Quartile |
0.82 |
3.65 |
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
Read the Report:
Construction Business Valuation Multiples and Financial Benchmarks
FAQs
How much does it cost to buy a construction business in California?
Prices vary depending on sales volume and financial performance, but the median asking price for a construction business in California is approximately $837,500.
How much do building and construction company owners earn?
These businesses vary in construction volume, but California construction company owners report median annual sales of $1,700,000 and annual owner earnings of $340,000. These figures are based on businesses that have listed their annual revenue and seller's discretionary earnings.
How do I value a building and construction business?
Valuing a building and construction business involves considering several factors, including annual sales volume, profit, growth (or decline) trends, and historical stability. Brokers, business owners, and business buyers will typically rely on valuation multiples to gauge business value relative to similar businesses in the market. Revenue multiples in the California building and construction industry typically range from 0.35 to 0.82, with the median at 0.49. Earnings multiples range from 2.00 to 3.65, with the median at 2.88. These values suggest the average construction company in California may sell for around 0.49 times its annual revenue, and 2.88 times its annual owner’s earnings.
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