The HVAC (Heating, Ventilation, and Air Conditioning) industry plays a critical role in maintaining comfort, health, and safety within residential, commercial, and industrial spaces. This sector encompasses the design, installation, maintenance, and repair of systems that regulate indoor environmental conditions.
If you are considering buying or selling an HVAC business, it is important to understand how these businesses are valued and how they typically perform financially. To provide some context, we have aggregated HVAC business for sale listings to surface average revenue and profit and derive valuation multiples.
| Market Overview | Listed for Sale |
|---|
| Number of Businesses Analyzed | 528 |
| Median Asking Price | $789,500 |
| Median Reported Revenue | $1,393,438 |
| Median Reported Seller's Discretionary Earnings | $291,302 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings.
Asking Price
| Lower Quartile | Median | Upper Quartile |
|---|
| $350,000 | $789,500 | $1,637,500 |
Market Financial Highlights
The financial data presented here is an aggregation of reported revenue and earnings of HVAC Businesses for sale.
| Bound | Revenue | Seller’s Discretionary Earnings |
|---|
| Lower Quartile | $800,000 | $185,841 |
| Median | $1,393,438 | $291,302 |
| Upper Quartile | $2,600,000 | $525,520 |
Valuation Multiples
The valuation multiples listed below are derived from asking price, revenue, and seller’s discretionary earnings of HVAC Businesses listed for sale.
FAQ's
How much does it cost to buy a HVAC Business?
The median asking price for an established HVAC Business is $789,500, though prices range from under $350,000 to well over $1,637,500.
How much do HVAC Businesses owners earn?
The median reported revenue of HVAC Businesses is $1,393,438 and owners earn a median of $291,302, which includes the owners salary and any other financial benefits they receive.
How do I value a HVAC Business?
Valuing a business is a complex process, but buyers and sellers often turn to the local market to understand how businesses are priced. Based on our most recent analysis of HVAC Businesses, revenue multiples range from 0.39 to 0.86, with a median of 0.61. Earning multiples range from 1.91 to 3.75, with the median at 2.76. This means the typical HVAC Business may ask for around 0.61 times its annual revenue, and 2.76 times its annual owner earnings.
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