Lakewood Ranch, FL
$118,000
Lakewood Ranch, FL
$118,000
Clermont, FL
$350,000
Georgia
Not Disclosed
EBITDA: $3,904,425
Van Nuys, CA
$349,000
Cook County, IL
$310,000
Oakland County, MI
$75,000
South Milwaukee, WI
$325,000
St Lucie County, FL
$625,000
Gwinnett County, GA
$370,000
Colorado
$125,000
North Carolina
$1,200,000
Chesterfield, MO
$120,000
Connecticut
$122,000
Virginia Beach, VA
$7,424,000
Fresno, CA
$300,000
Pleasanton, CA
$525,000
Stephanie Robertson
First Choice Business Brokers Denver
Serving Jefferson County, CO
Founded in 1994, First Choice Business Brokers is one of the largest Business Sales Organizations in the world, with multiple offices located throughout the U.S. listing over $8 billion worth of businesses. Our Denver office consists of 2 Principals, 3 Associates, and administrative personnel. In addition, we have a select team of professional service providers we can recommend that can provide legal, accounting, planning, financing and various other services.
West Monroe, LA
$150,000
Pinellas County, FL
$1,490,000
California
$700,000
Nashville, TN
$169,999
Dallas, TX
$120,000
Virginia
Not Disclosed
EBITDA: $348,529
California
$1,495,000
Colorado
Not Disclosed
Cash Flow: $160,000
Mobile, AL
$412,900
Sarasota, FL
$4,000,000
Clackamas County, OR
$275,000
Not Disclosed
EBITDA: $799,000
Fort Worth, TX
$329,000
Orland Park, IL
$450,000
$750,000
Cincinnati, OH
$220,000
Sarasota County, FL
$499,000
New York
$949,000
REAL ESTATE INCLUDED
Texas
$2,171,902
Northbrook, IL
$369,000
Suffolk County, NY
$185,000
New York
$1,375,000
Bucks County, PA
$185,000
Bayside, NY
$205,000
Oklahoma City, OK
$1,100,000
Overland Park, KS
$1,350,000
Fairfield County, CT
$395,000
REAL ESTATE INCLUDED
Crescent City, FL
$515,000
Chuck Hayes
ABA Advisors, LLC
Serving Marion County, IN
ABA Advisors, LLC is a national brokerage and consulting firm specializing in the sale of accounting and tax practices.
REAL ESTATE INCLUDED
North Carolina
$8,500,000
Springtown, TX
$99,900
REAL ESTATE INCLUDED
Milaca, MN
$2,139,999
Clearwater, FL
$245,000
Wailea, HI
$99,000
Omaha, NE
$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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