San Diego County, CA
$305,000
San Diego County, CA
$305,000
Ontario
$75,000
Paramount, CA
Los Angeles County, CA
$875,000
Fresno, CA
$125,000
Inverness, FL
$50,000
California
$265,000
Santa Clara County, CA
$695,000
Barnstable County, MA
$150,000
Tempe, AZ
$33,250
Boca Raton, FL
$120,000
Phoenix, AZ
$135,000
College Park, GA
$249,000
Houston, TX
$95,000
Hawaii County, HI
$150,000
Jacksonville, FL
$980,000
Calder Capital - Mergers & Acquisitions
Calder Capital, LLC
Serving Kent County, MI
Founded in 2013, Calder Capital, LLC is a lower middle market M&A Advisory Firm focused on representing sellers of manufacturing, distribution, construction, and business services companies with enterprise value from $1-100MM; and financial, strategic, and entrepreneurial buyers seeking acquisitions in the same market segments.
Gibsonton, FL
$12,500
Boise, ID
$100,000
Seattle, WA
$98,500
Hialeah, FL
$99,500
Austin, TX
$550,000
Brentwood, TN
$1,500,000
Hillsborough County, NH
Hempstead, NY
$189,000
Los Angeles, CA
$180,000
Beverly Hills, CA
$150,000
Mississippi
$150,000
$20,000
Blue Point, NY
$458,000
Portland, TX
$50,000
Lancaster, CA
$35,000
Thousand Oaks, CA
$190,000
Bergen County, NJ
$125,000
Highland Park, CA
$115,000
Kitsap County, WA
$220,000
Middlesex County, MA
$85,000
Palm Beach County, FL
$45,000
Columbia, SC
$150,000
Gilbert, AZ
$25,000
Duval County, FL
$155,000
Niles, OH
$2,200,000
Ontario
$1,998,000
Orange County, CA
$59,000
Essex County, MA
Dave Duce
We Sell Restaurants
Serving Austin County, TX
We Sell More Restaurants Than Anyone Else. PERIOD.
Portland, OR
$130,000
Mt Juliet, TN
$49,900
Ocean County, NJ
$499,000
Phoenix, AZ
$46,800
Suffolk County, NY
$180,000
Broward County, FL
$97,000
Acquisitions of service business are on the rise, and it’s easy to see why. Service businesses provide niche professional support to customers and cover a wide range of industries. The benefits of owning a service business include operational flexibility, high profitability, low overhead costs, minimal inventory and supplies, and the possibility of generating multiple revenue streams. One of the primary advantages of buying an existing service business is that it comes with established credibility in the market.
For those in the market to buy or sell a service business, it’s crucial to gain an understanding of how the market values these businesses, and what average financial performance looks like. To that end, we have aggregated listings data to surface current valuation multiples and typical financials of service businesses.
Market Overview
Number of Businesses Analyzed |
5,359 |
Median Asking Price |
$312,338 |
Median Reported Revenue |
$525,724 |
Median Reported Earnings |
$152,000 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
Service Business Valuation Multiples
Range |
Revenue |
Earnings (SDE) |
Lower Quartile |
0.43 |
1.50 |
Median |
0.72 |
2.43 |
Upper Quartile |
1.08 |
3.44 |
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
Read the Report:
Service Business Valuation Multiples & Financial Benchmarks
Popular Service Businesses
Some of the most popular categories include:
FAQs
How much does it cost to buy a service business?
Prices vary depending on sales volume and financial performance, but the median asking price for a service business in the U.S. is approximately $312,338.
How much do service business owners earn?
These businesses vary in sales volume, but service business owners report median annual sales of $525,724 and annual owner earnings of $152,000. These figures are based on businesses that have listed their annual revenue and seller's discretionary earnings.
How do I value a service business?
Valuing a service business involves considering several factors, including annual revenue, profit, owner earnings, growth (or decline) trends, and historical stability. Brokers, business owners, and business buyers will typically rely on valuation multiples to gauge business value relative to similar businesses in the market. Revenue multiples of service businesses range from 0.43 to 1.08, with the median at 0.72. Earnings multiples range from 1.50 to 3.44, with the median at 2.43. These values indicate that a typical service business may sell for around 0.72 times its annual revenue, and 2.43 times its annual owner’s earnings.
More for Business Buyers:
Set Up Alerts and Notifications
Business Buyer Learning Center
More for Business Sellers: