Redondo Beach, CA
$300,000
Redondo Beach, CA
$300,000
Tarzana, CA
$360,000
Los Angeles, CA
$670,000
Burbank, CA
$760,000
Hermosa Beach, CA
$330,000
San Diego County, CA
$179,000
Murphys, CA
$375,000
Wildomar, CA
$900,000
Napa County, CA
$225,000
San Francisco, CA
$100,000
Mendocino County, CA
$300,000
San Francisco, CA
$145,000
Contra Costa County, CA
$400,000
$95,000
Los Angeles, CA
San Diego, CA
$550,000
Davis, CA
$200,000
Lloyd Silver, CFA, CBB
BTI Group
Serving Contra Costa County, CA
Business Team, a unit of BTI Group, is the largest independent business brokerage firm in the Western United States specializing in arranging the purchase and sale of privately owned companies. During our third of a century of existence, we have developed both an unmatched depth of experience (an aggregate of several hundred years!) and a vast network of individual, corporate, and investment group buyers. Why Choose Business Team: * Complete confidentiality * Over 70 full-time associates * Willingness to cooperate with other brokers to expand the buyer pool * Full marketing services * No upfront fees * Over 40 years of experience with more than 7,000 businesses sold
Auburn, CA
$99,000
Temecula, CA
$399,000
Long Beach, CA
$274,000
Santa Rosa, CA
$175,000
Orange, CA
$225,000
Tulare County, CA
$149,000
Yolo County, CA
$160,000
Mission Viejo, CA
$59,000
$98,000
Pasadena, CA
Anaheim, CA
$98,000
Fountain Valley, CA
$160,000
Hermosa Beach, CA
$219,000
Newport Beach, CA
$390,000
Huntington Beach, CA
$49,000
Orange County, CA
$195,000
Monterey County, CA
$495,000
National City, CA
$149,000
Carlsbad, CA
$129,000
Fountain Valley, CA
$350,000
$110,000
Norwalk, CA
Bishop, CA
$87,000
Ocean Beach, CA
$1,999,000
Los Angeles, CA
$645,000
Cypress, CA
$49,000
San Diego, CA
$399,000
San Diego, CA
$249,999
Escondido, CA
$29,000
Los Angeles County, CA
$450,000
Jesse Stopnitzky
Performance Brokerage Services, Inc
Serving Orange County, CA
San Francisco, CA
$168,000
North Hollywood, CA
$550,000
$490,000
Irvine, CA
Baldwin Park, CA
$460,000
Torrance, CA
$179,000
San Francisco, CA
$48,000
Aptos, CA
$59,000
Sebastopol, CA
$495,000
Gardena, CA
$30,000
San Jose, CA
$168,000
Food and restaurant businesses are among the most common businesses bought and sold on BizBuySell. Whether you are a buyer or a seller, it is helpful to have some context on the local market. To provide that context, we have analyzed restaurant for sale listings in California and aggregated financial data to help you compare and evaluate individual restaurant businesses.
Market Snapshot
|
Number of Businesses Analyzed |
1,825 |
|
Median Asking Price |
$282,000 |
|
Median Reported Revenue |
$660,000 |
|
Median Reported Earnings |
$120,000 |
|
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
|
California Restaurant Valuation Multiples
|
Range |
Revenue |
Earnings (SDE) |
|
Lower Quartile |
0.29 |
1.91 |
|
Median |
0.42 |
2.50 |
|
Upper Quartile |
0.60 |
3.33 |
|
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
||
Read the Report:
Restaurant Business Valuation Multiples and Financial Benchmarks
FAQs
How much does it cost to buy a restaurant in California?
The median asking price for restaurants in California is $282,000. However, prices can range significantly higher or lower depending on location, size, type, and the financial health of the business.
How much do restaurant owners earn?
The median reported discretionary earnings for restaurant businesses listed for sale in California is $120,000. Earnings can vary greatly depending on the type of restaurant, location, management efficiency, and market demand.
How are restaurants in California valued?
Most business owners (and buyers) will start by applying earnings and revenue multiples to the businesses reported financials. This way buyers and sellers can gauge the value of a restaurant business relative to its peers in the market.
Based on our most recent analysis of California restaurant business listings, revenue multiples range from 0.29 to 0.60, with the median at 0.42. Earnings multiples range from 1.91 to 3.33, with the median at 2.50. This means restaurants in California are valued, on average, around 0.42 times annual revenue, and/or 2.50 times annual owner earnings.
On average, businesses sell for about 80-90% of asking price, so valuation multiples based on active listings tend to be higher than closed sale multiples.
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