Alameda County, CA
$79,000

Alameda County, CA
$79,000

Santa Ana, CA
$175,000

Los Angeles, CA
$1,300,000

Contra Costa County, CA
$95,000
Upland, CA
$695,000
Los Angeles County, CA
$199,000
Fairfield, CA
$150,000
Laguna Niguel, CA
$18,000
Los Angeles County, CA
$179,000
Concord, CA
$499,000
Huntington Beach, CA
$59,000
Riverside, CA
$1,000,000
San Francisco, CA
$220,000
California
$220,000
San Francisco, CA
$175,000
Irvine, CA
$230,000
Randy Hendershot, CBB
Evolution Advisors
Serving Placer County, CA
Evolution provides a full range of professional services to anyone considering Buying or Selling a Business, including Valuation, Exit Strategies, Financing or anything else related to the sale or purchase of a business. Evolutions approach is unique and proven to work.
Los Angeles County, CA
$97,000
Los Angeles County, CA
$1,795,000
Tarzana, CA
$245,000
Sonoma County, CA
$1,400,000
San Francisco, CA
$79,000
San Diego County, CA
$199,000
Santa Clara County, CA
$750,000
Orange County, CA
$199,000
San Jose, CA
$350,000
Mountain View, CA
$650,000
Irvine, CA
$265,000
Orange County, CA
$375,000
Los Angeles, CA
$165,000
San Francisco, CA
$264,900
El Dorado County, CA
$3,300,000
Fontana, CA
$70,000
Stockton, CA
$250,000
Sonoma County, CA
$299,000
San Francisco, CA
$99,000
Azusa, CA
$250,000
Alhambra, CA
$335,000
Arcadia, CA
$110,000
Redondo Beach, CA
$225,000
Santa Rosa, CA
$129,999
Rolling Hills Estates, CA
$225,000
San Jose, CA
$215,000
Anaheim, CA
$109,000
San Francisco, CA
$80,000
William Yoo
Sky Commercial Real Estate
Serving Los Angeles County, CA
KNOWLEDGEABLE AND EXPERIENCED AGENT
California
$549,000
Fresno, CA
$80,000
Livermore, CA
$188,000
Seal Beach, CA
$140,000
Carmel, CA
$250,000
Carmel, CA
$99,000
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.
More for Business Buyers:
More for Business Sellers: