Santa Clara, CA
$175,000
Santa Clara, CA
$175,000
Houston, TX
$75,000
Melbourne, FL
$250,000
Kings County, NY
$1,200,000
$35,000
Greene County, MO
$250,000
Columbus, OH
$75,000
Boynton Beach, FL
$69,900
Broward County, FL
$90,000
Dallas, TX
$40,000
Pennsylvania
$37,900
Phoenix, AZ
$50,000
Kissimmee, FL
$60,000
Nashville, TN
$59,000
Pinellas County, FL
$49,900
Sarasota County, FL
$132,000
Ben Strake
Premier Business Brokers
Serving St. Louis County, MO
About Us Premier Business Brokers & Business Acquisitions Ltd are full-service business transaction firms specializing in the confidential process of buying and selling privately held companies. Every business is unique, and every business owner has distinct objectives. We specialize in understanding those many variables and in knowing how to address them most effectively. The result of our approach is client satisfaction through a long list of successful business transactions. Our combined firms utilizes a collection of proprietary and third-party tested resources. The outcome is a pass-through benefit to every client we encounter. Our offices are based in St. Louis, Missouri & Denver Colorado.
Georgia
$4,650,000
New York, NY
$59,998
Broward County, FL
Pottawatomie County, OK
$995,000
San Tan Valley, AZ
$40,000
Sterling Heights, MI
$4,000,000
Buffalo, NY
$180,000
Door County, WI
$1,295,000
Pennsylvania
$300,000
Florida
$52,000
Souderton, PA
$900,000
Chino, CA
$195,000
Wake County, NC
$1,900,000
Englewood, CO
$390,000
Bronx County, NY
$2,999,999
Massachusetts
$1,499,000
Kane County, IL
Albemarle County, VA
$1,495,000
Johnsonville, SC
$4,500,000
East Northport, NY
Puerto Lopez And Lentag
$9,000,000
Mount Pleasant, TX
$2,280,000
Summerville, SC
$1,480,500
Cook County, IL
$1,000,000
Lecanto, FL
$849,900
Houghton Lake, MI
$525,000
Sandpoint, ID
$730,000
Ledyard, CT
Hannah Null
Invest Real Estate Team
Serving Tulsa County, OK
Woodbridge, VA
$320,000
Hobart, WI
$2,650,000
Belvidere, NJ
$995,000
Bensalem, PA
$749,900
Jacksonville, FL
$899,000
Skagway, AK
$3,950,000
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:
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