San Jose, CA
$250,000

San Jose, CA
$250,000
Covina, CA
$89,000

Sunnyvale, CA
$380,000

Artesia, CA
$200,000
Temecula, CA
$79,000
San Francisco, CA
$295,000
La Mirada, CA
$70,000
Bellflower, CA
$320,000
San Francisco, CA
$79,000
Westminster, CA
$199,000
Moorpark, CA
$580,000
Los Gatos, CA
$190,000
Sacramento, CA
$110,000
San Francisco, CA
$248,000
San Bruno, CA
$268,000
Riverside, CA
$195,000
Jock Purtle
Business Exits Inc.
Serving Los Angeles County, CA
Fresno, CA
$129,000
Santa Cruz County, CA
$425,000
Orange County, CA
$250,000
San Francisco, CA
$150,000
San Francisco, CA
$400,000
Berkeley, CA
$99,000
Lancaster, CA
$250,000
Alameda County, CA
$350,000
REAL ESTATE INCLUDED
Julian, CA
$1,279,000
La Verne, CA
$1,999,888
San Bernardino County, CA
$79,000
Sherman Oaks, CA
$349,000
Los Angeles County, CA
$689,000
Modesto, CA
$250,000
Solana Beach, CA
$200,000
Murrieta, CA
$109,000
Rancho Cordova, CA
$165,000
Chino, CA
$595,000
Riverside County, CA
$395,900
Milpitas, CA
$290,000
Santa Barbara, CA
$299,000
Glendale, CA
$59,000
San Mateo County, CA
$350,000
Indio, CA
$150,000
San Diego County, CA
$535,000
Los Angeles, CA
$450,000
Los Angeles County, CA
$1,200,000
Orange County, CA
$450,000
Andrew Dummer
Transworld Business Advisors of Redding
Serving Tehama County, CA
Transworld Business Advisors is the world leader in the marketing and sales of businesses, mergers and acquisitions, and franchises. With a track record of helping over 10,000 business owners maximize the value of their businesses, we're committed to delivering exceptional results for our clients.
Los Angeles County, CA
$188,000
Burbank, CA
$450,000
California
$1,100,000
Monterey Park, CA
$180,000
San Diego, CA
$275,000
Azusa, CA
$720,000
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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