Prunedale, CA
$149,000

Prunedale, CA
$149,000

Grass Valley, CA
$315,000

San Jose, CA
$395,000
Agoura Hills, CA
$2,500,000
San Diego County, CA
$250,000
Hawthorne, CA
$200,000
San Jose, CA
$1,250,000
Laguna Niguel, CA
$395,000
Los Angeles, CA
$249,000
Los Angeles County, CA
$248,000
Santa Rosa, CA
$249,000
Irvine, CA
$160,000
Berkeley, CA
$299,000
Sacramento, CA
$399,000
Marin County, CA
$100,000
San Francisco, CA
$150,000
Eric Marchand
MARCHAND REALTY LLC
Serving San Mateo County, CA
Long Beach, CA
$180,000
Redwood City, CA
$175,000
California
$295,000
Sun Valley, CA
$150,000
Los Angeles County, CA
$525,000
Los Angeles, CA
$1,550,000
Valencia, CA
$495,000
Los Angeles, CA
$1,200,000
San Pedro, CA
$160,000
San Francisco, CA
$249,000
Irvine, CA
Not Disclosed
Cash Flow: $381,235
Santa Barbara, CA
$375,000
Morgan Hill, CA
$110,000
North Hollywood, CA
$120,000
Riverside County, CA
$59,000
Los Angeles, CA
$48,000
Los Angeles, CA
$125,000
Santa Clara, CA
$200,000
Los Angeles, CA
$70,000
Santa Rosa, CA
$35,000
Huntington Beach, CA
$170,000
Newport Beach, CA
$250,000
Stanislaus County, CA
$115,000
San Diego, CA
$199,000
Lakewood, CA
$80,000
Petaluma, CA
$125,000
Encinitas, CA
$125,000
Alameda County, CA
$220,000
Kenny Liu
Realest Group
Serving Los Angeles County, CA
Realest is a privately held and minority owned, real estate services and investment firm focused on creating and optimizing the value of real estate through the confluence of innovation, cultures, experiences, industries, and communities. Our clients and our projects not only shape culture, but form an evergreen portfolio of experience-driven residential, retail, hospitality, office, leisure and entertainment assets in emerging growth markets. Based in Los Angeles, Realest capitalizes on its proximity to the apex of entertainment, digital media, and innovative dining. With our diverse expertise and close ties to leaders in the real estate, fashion, culinary, music, and entertainment industries, Realest is uniquely positioned to develop a portfolio of experiential brands at the cross-section of multiple sectors. Together, our work has drawn over ten billion impressions and counting. As commercial real estate is upended by emerging technologies, e-commerce, a flattened competitive landscape, and the recent global pandemic, we believe the best way to predict the unknown future is to invent it, creating our own reality. Then, diligently stewarding its course. This is how we ensure our capital investors and long-term brand partners are able to secure, stabilize, and maximize their investments in our institutional-grade projects throughout specific growth markets.
Santa Monica, CA
$340,000
Beverly Hills, CA
$250,000
Woodland Hills, CA
$94,500
San Diego, CA
$795,000
Beverly Hills, CA
$195,000
San Diego, CA
$250,000
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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