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Lion's Den Business Brokerage
Serving Oakland County, MI
The world leader in the marketing and sales of businesses, commercial real estate and real estate. Whether you represent an acquisition-minded corporation, or are personally interested in owning your own company, we offer the professional services that successfully bring buyers and sellers together.
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Yeti Commercial, LLC
Serving Fairfax County, VA
Service with smile for life
Cherry Hill, NJ
San Diego County, CA
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Daytona Beach, FL
Delaware County, PA
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Cuyahoga County, OH
| Market Overview | Listings for Sale (Median) |
|---|---|
| Number of Businesses Analyzed | 4,978 |
| Asking Price | $350,000 |
| Reported Revenue | $650,000 |
| Reported Seller's Discretionary Earnings | $172,244 |
Asking Price
| Lower Quartile | Median | Upper Quartile |
|---|---|---|
| $189,000 | $350,000 | $892,250 |
Market Financial Highlights
The financial data presented here is an aggregation of reported revenue and earnings of Service Businesses for sale.
| Bound | Revenue | Seller’s Discretionary Earnings |
|---|---|---|
| Lower Quartile | $326,293 | $98,910 |
| Median | $650,000 | $172,244 |
| Upper Quartile | $1,375,501 | $309,879 |
Valuation Multiples
The valuation multiples listed below are derived from asking price, revenue, and seller's discretionary earnings of Service Businesses listed for sale.
| Bound | Revenue Multiple | Earnings Multiple |
|---|---|---|
| Lower Quartile | 0.42 | 1.60 |
| Median | 0.72 | 2.56 |
| Upper Quartile | 1.10 | 3.62 |
FAQ's
How much does it cost to buy a Service Business?
The median asking price for an established Service Business is $350,000, though prices range from under $189,000 to well over $892,250.
How much do Service Businesses owners earn?
The median reported revenue of Service Businesses is $650,000 and owners earn a median of $172,244, which includes the owners salary and any other financial benefits they receive.
How do I value a Service Business?
Valuing a business is a complex process, but buyers and sellers often turn to the local market to understand how businesses are priced. Based on our most recent analysis of Service Businesses, revenue multiples range from 0.42 to 1.10, with a median of 0.72. Earning multiples range from 1.60 to 3.62, with the median at 2.56. This means the typical Service Business may ask for around 0.72 times its annual revenue, and 2.56 times its annual owner earnings.
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