San Jose, CA
$255,000
San Jose, CA
$255,000
Sacramento, CA
$1,700,000
Sacramento, CA
$298,000
Loma Linda, CA
$395,000
Saratoga, CA
$218,000
Berkeley, CA
$123,000
South San Francisco, CA
$887,000
Sunnyvale, CA
$148,000
Solano County, CA
$65,000
San Francisco, CA
$75,000
San Francisco, CA
$125,000
Pasadena, CA
$375,075
San Mateo County, CA
$750,000
Los Angeles County, CA
$75,000
California
$1,900,000
Millbrae, CA
$250,000
Umang Kathrani
Alliance Bay Realty
Serving Alameda County, CA
Business Broker for East Bay Area
Elk Grove, CA
$300,000
Rocklin, CA
$149,000
Santa Clara County, CA
$699,000
Ramona, CA
$140,000
Santa Clara County, CA
$145,000
Los Angeles County, CA
$1,000,000
West Covina, CA
$985,000
Sunnyvale, CA
$399,000
San Jose, CA
$189,000
Colton, CA
$200,000
Riverside, CA
$70,000
West Covina, CA
$179,000
Valencia, CA
$275,000
Rowland Heights, CA
$389,000
Buena Park, CA
$399,000
San Diego, CA
$249,999
West Covina, CA
$160,000
Santa Monica, CA
$250,000
Sacramento County, CA
$219,000
San Francisco, CA
$495,000
Mission Viejo, CA
$130,000
Fairfield, CA
$249,000
Orange County, CA
$180,000
Fresno, CA
$115,000
Marin County, CA
$100,000
Thousand Oaks, CA
$550,000
Pleasant Hill, CA
$5,900,000
Colton, CA
$225,000
Jason Hullender
IAG
Serving Riverside County, CA
IAG M&A Advisors is a nationwide business intermediary consulting firm that facilitates the buying & selling of businesses with the goals of our clients at heart. With over 100 years of combined management experience, our team gets to know each of our clients personally to understand their values & businesses. Our experience & leadership in the M&A industry has helped the owners of privately-held companies “cash in” on all their hard work and get the best payoff possible. Please refer any inquiries and send any NDAs to buyers@iag-service.com.
Riverside County, CA
$300,000
Gardena, CA
$700,000
Los Angeles County, CA
$395,000
Gardena, CA
$175,000
Pleasanton, CA
$159,000
San Bernardino County, CA
$250,000
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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