Bronx, NY
$2,200,000
Bronx, NY
$2,200,000
Eldersburg, MD
$2,900,000
Union County, NJ
$200,000
Monroe, LA
$600,000
Rutland, VT
$275,000
Farragut, TN
$1,474,000
Pleasant Valley, NY
Pleasant Valley, NY
New Castle, PA
$699,000
Fort Pierce, FL
$2,250,000
Cutler Bay, FL
$3,970,000
Williamsport, PA
Montgomery County, TX
$3,125,000
New Jersey
$6,000,000
Los Angeles, CA
$2,980,000
Orange, CA
$649,000
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.
Livingston, NJ
$2,200,000
Lawnside, NJ
Little Rock, AR
$975,000
Berlin, NJ
$249,900
Corsicana, TX
$120,000
New Port Richey, FL
New Port Richey, FL
New Port Richey, FL
New Port Richey, FL
New Port Richey, FL
New Port Richey, FL
Matawan, NJ
$2,590,000
Queens, NY
$1,600,000
Orange, CA
$180,000
East Hampton, NY
Modesto, CA
$1,300,000
Hope, AR
$225,800
Hope, AR
$150,000
Holtsville
$140,000
Minneapolis, MN
$750,000
Brazos County, TX
$2,500,000
Berlin, NH
$269,900
Prince George's County, MD
$3,500,000
Queens County, NY
$1,550,000
Barnstable County, MA
$1,999,000
Brooklyn, NY
$599,000
Los Angeles, CA
$2,950,000
Scituate, MA
$12,000,000
Dave Duce
We Sell Restaurants
Serving Austin County, TX
We Sell More Restaurants Than Anyone Else. PERIOD.
Spain
$28,000,000
Cockeysville, MD
Grand Junction, CO
$6,000,000
Elizabethport, NJ
$880,000
Ellsworth, ME
Compton, CA
$3,000,000
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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