Berkeley, CA
$99,000

Berkeley, CA
$99,000

Lancaster, CA
$250,000

Alameda County, CA
$350,000

REAL ESTATE INCLUDED
Julian, CA
$1,279,000
La Verne, CA
$1,999,888
San Bernardino County, CA
$79,000
Azusa, CA
$90,000
Sherman Oaks, CA
$349,000
Los Angeles County, CA
$689,000
Milpitas, CA
$500,000
Modesto, CA
$250,000
Solana Beach, CA
$200,000
Murrieta, CA
$109,000
Rancho Cordova, CA
$165,000
Chino, CA
$595,000
Riverside County, CA
$395,900
Eric Johnson
First Choice Business Brokers-SF Bay
Serving Santa Clara County, CA
As a Franchisee/Broker at First Choice Business Brokers, I help Main Street to Lower-Middle-Market businesses with proven business models and cash flow find strategic exits. I have been active in starting, scaling, and exiting businesses for over 3 decades having successfully facilitated deals across various sectors, including technology, transportation, manufacturing, retail, and franchise sales. First Choice Business Brokers is a Nationwide organization active since 1995 in over 100 markets. We have completed over $12.5 billion in business sales and are ranked as one of the best and fastest growing companies in our segment. Our reach is unprecedented and our agents are the best trained in the business.
Milpitas, CA
$290,000
Santa Barbara, CA
$299,000
Glendale, CA
$59,000
San Mateo County, CA
$350,000
Indio, CA
$150,000
San Diego County, CA
$535,000
Los Angeles, CA
$450,000
Los Angeles County, CA
$1,200,000
Orange County, CA
$450,000
Los Angeles County, CA
$188,000
Burbank, CA
$350,000
California
$1,100,000
Monterey Park, CA
$180,000
San Diego, CA
$275,000
Azusa, CA
$720,000
Los Angeles, CA
$50,000
Studio City, CA
$600,000
Milpitas, CA
$200,000
Daly City, CA
$89,000
Garden Grove, CA
$87,000
Corona, CA
$75,000
Belmont, CA
$325,000
Tulare County, CA
$239,000
Martinez, CA
$290,000
Petaluma, CA
$164,000
Marin County, CA
$249,000
Santa Cruz County, CA
$167,000
Orange County, CA
$247,000
Robert Kale
Business Exits Inc.
Serving Los Angeles County, CA
Sacramento, CA
$270,000
Fresno, CA
$220,000
Gilroy, CA
$170,000
El Monte, CA
$49,999
West Hollywood, CA
$2,000,000
Los Angeles, CA
$350,000
Food and restaurant businesses are among the most common businesses bought and sold on BizBuySell. Whether you are a buyer or a seller, it is helpful to have some context on the local market. To provide that context, we have analyzed restaurant for sale listings in California and aggregated financial data to help you compare and evaluate individual restaurant businesses.
Market Snapshot
|
Number of Businesses Analyzed |
1,825 |
|
Median Asking Price |
$282,000 |
|
Median Reported Revenue |
$660,000 |
|
Median Reported Earnings |
$120,000 |
|
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
|
California Restaurant Valuation Multiples
|
Range |
Revenue |
Earnings (SDE) |
|
Lower Quartile |
0.29 |
1.91 |
|
Median |
0.42 |
2.50 |
|
Upper Quartile |
0.60 |
3.33 |
|
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
||
Read the Report:
Restaurant Business Valuation Multiples and Financial Benchmarks
FAQs
How much does it cost to buy a restaurant in California?
The median asking price for restaurants in California is $282,000. However, prices can range significantly higher or lower depending on location, size, type, and the financial health of the business.
How much do restaurant owners earn?
The median reported discretionary earnings for restaurant businesses listed for sale in California is $120,000. Earnings can vary greatly depending on the type of restaurant, location, management efficiency, and market demand.
How are restaurants in California valued?
Most business owners (and buyers) will start by applying earnings and revenue multiples to the businesses reported financials. This way buyers and sellers can gauge the value of a restaurant business relative to its peers in the market.
Based on our most recent analysis of California restaurant business listings, revenue multiples range from 0.29 to 0.60, with the median at 0.42. Earnings multiples range from 1.91 to 3.33, with the median at 2.50. This means restaurants in California are valued, on average, around 0.42 times annual revenue, and/or 2.50 times annual owner earnings.
On average, businesses sell for about 80-90% of asking price, so valuation multiples based on active listings tend to be higher than closed sale multiples.
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