Stanislaus County, CA
$1,500,000
Stanislaus County, CA
$1,500,000
Macomb County, MI
$800,000
Derby, VT
Williamstown, NJ
$2,300,000
Washington, DC
$6,500,000
Upper Lake, CA
$520,000
Altus, OK
$550,000
Amherst, NY
Walsenburg, CO
$140,000
Levittown, PA
$1,700,000
Remus, MI
$200,000
Scottsdale, AZ
$400,000
$45,000
$40,000
Nick Adhikari
Baltimore Business Brokerage
Serving Baltimore County, MD
We aim to help client's dream come true in buying and selling businesses.
$45,000
$45,000
$45,000
$45,000
$45,000
$45,000
$16,495
$45,000
$1,200,000
$50,000
$25,000
$25,000
$95,000
$45,000
$12,500
$90,000
Retail businesses are crucial to the local economy, offering a wide variety of goods, including bike shops, flower shops, convenience stores, liquor stores, and clothing stores, among others. They are an excellent opportunity for small, local business owners to establish profitable enterprises while contributing to the economic health of their communities. With the ability to serve as both profitable ventures and community cornerstones, retail businesses remain a vital component of local commerce.
If you are looking to buy or sell a retail business, it helps to have some context on the market, and to understand how they are valued. Below, we have aggregated financial data from current and recent listings to provide some benchmarks on valuation and financial performance of retail businesses. All data is based on broker and business owner provided financial information.
Market Overview
Number of Businesses Analyzed |
4,722 |
Median Asking Price |
$300,000 |
Median Reported Revenue |
$600,000 |
Median Reported Earnings |
$133,000 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
Retail Business Valuation Multiples
Range |
Revenue |
Earnings (SDE) |
Lower Quartile |
0.37 |
1.79 |
Median |
0.56 |
2.53 |
Upper Quartile |
0.85 |
3.50 |
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
Read the Report:
Retail Business Industry Valuation Report
Popular Retail Business Categories
FAQs
How much does it cost to buy a retail business?
The median asking price for a retail business is approximately $300,000. However, this can vary significantly depending on the size, location, and financial performance of the store or shop.
How much do local retail business owners earn?
On average, store owners report median annual sales of $600,000 and annual owner earnings of $133,000. These figures are based on businesses that have listed their annual revenue and seller's discretionary earnings.
How do I value a retail business?
Valuing a retail business involves considering several factors, including annual revenue, profit margins, location, real estate, and market conditions. Brokers, business owners, and business buyers will typically rely on valuation multiples to gauge business value relative to similar businesses in the market. Retail revenue multiples typically range from 0.37 to 0.85, with the median at 0.56. Earnings multiples range from 1.79 to 3.50, with the median at 2.53. These values suggest a typical local retail business will sell for around 0.56 times its annual revenue, and 2.53 times its annual owner’s earnings.
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