Toledo, CA
$108,900
Toledo, CA
$108,900
Hillsborough County, FL
$39,000
Bullitt County, KY
$1,125,000
Baton Rouge, LA
$95,000
San Francisco, CA
$170,000
Sonoma County, CA
$699,000
Missouri
$850,000
California
Not Disclosed
Cash Flow: $475,000
Lee County, FL
$110,000
Suffolk County, NY
$250,000
Hollywood, FL
$600,000
Las Vegas, NV
$1,800,000
Tarrant County, TX
$85,000
Lakeland, FL
$150,000
Las Vegas, NV
$145,000
REAL ESTATE INCLUDED
Hollis, OK
$299,000
Kevin Nery
The Nery Corporation d/b/a Coastal Business Brokers/Coastal M&A
Serving Bristol County, MA
The Nery Corporation D/B/A Coastal Business Brokers and Coastal M&A are Business Brokerage Firms providing professional services to sellers and buyers of small to mid-size companies. Our experience allows us to effectively value and market your company for sale in a confidential, professional manner. Our extensive local and national data base of buyers combined with our working knowledge enables us to successfully complete the process of ownership transfer. Buyers enjoy working with us because of the clear, detailed information provided to analyze the business opportunity. We often assist with financing options; negotiate for a win-win situation and completion of all other steps in the extensive process.
Columbia, SC
$89,000
$274,990
Illinois
$1,050,000
California
$657,000
Colorado
$3,000,000
Richmond, VA
$60,000
St. Louis County, MO
$325,000
Williamsport, PA
$105,000
Oceanside, CA
$2,300,000
Albany, CA
$189,000
Not Disclosed
EBITDA: $10
Okanagan, BC
$299,000
Los Angeles County, CA
$215,000
REAL ESTATE INCLUDED
Missouri
$750,000
San Antonio, TX
$3,750,000
Minnesota
$60,000
Texas
Not Disclosed
EBITDA: $321,000
North Carolina
$3,100,000
Kennesaw, GA
$275,000
Houston, TX
$249,900
Saint Louis, MO
$50,000
Calaveras County, CA
$195,000
Not Disclosed
Miami, FL
$350,000
Harris County, TX
$285,000
Dallas County, TX
Not Disclosed
Cash Flow: $248,000
Westchester County, NY
$1,500,000
Alameda County, CA
$295,000
Melissa Hayes
Horizon Commercial Realty Group
Serving Josephine County, OR
Two decades of experience at work for you!
Colorado
Not Disclosed
Cash Flow: $160,000
Lubbock County, TX
$300,000
Newport News, VA
$685,000
Baton Rouge, LA
$375,000
San Antonio, TX
$295,000
Plymouth County, MA
$2,700,000
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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