Norfolk County, MA
$1,800,000

Norfolk County, MA
$1,800,000

Addison, TX
$6,500,000

Finland
$6,120,000

San Jose, CA
$1,000,000
$1,100,000
Not Disclosed
Cash Flow: $640,662
Santa Clara County, CA
Not Disclosed
Cash Flow: $100,000
Bernalillo County, NM
$3,100,000
Not Disclosed
EBITDA: $1,113,000
Montana
Not Disclosed
EBITDA: $534,000
Saint Louis, MO
$325,000
Pierce County, WA
$3,572,000
Fayette County, KY
$699,000
New York, FL
Queens County, NY
$20,000,000
Florida
Not Disclosed
EBITDA: $901,173
Marissa Lopresti
Transworld Business Advisors
Serving Cook County, IL
Oregon
Not Disclosed
Cash Flow: $750,062
Tennessee
Not Disclosed
Cash Flow: $544,943
Wake County, NC
$900,000
Essex County, MA
$2,975,000
Travis County, TX
$2,750,000
Not Disclosed
EBITDA: $522,797
Cedar Grove, NJ
$999,999
Not Disclosed
EBITDA: $361,000
$1,500,000
Minnesota
Not Disclosed
EBITDA: $911,350
Virginia
Not Disclosed
EBITDA: $418,707
New York, NY
$1,700,000
California
$1,650,000
Ottawa, ON
$375,000
Williamson County, TX
$650,000
Santa Clara County, CA
Not Disclosed
EBITDA: $36,000
Cook County, IL
Not Disclosed
EBITDA: $270,926
New York
Not Disclosed
Cash Flow: $1,206,650
New York
Not Disclosed
Cash Flow: $460,000
$6,600,000
Boulder, CO
Buenos Aires
$8,250,000
Singapore
$1,800,000
California
Not Disclosed
EBITDA: $320,921
Brevard County, FL
Not Disclosed
EBITDA: $700,000
Utah
Not Disclosed
EBITDA: $472,780
Orange County, CA
$4,000,000
$3,600,000
Texas City, TX
$2,958,000
Robert Howells
Business Brokers of San Antonio
Serving Bexar County, TX
Business Brokers of San Antonio (BBofSA) is one of the largest and most successful business brokerages in the San Antonio and South Central Texas area having been in business for over a decade. All of our work is done confidentially and professionally so your customers, employess, landlord and vendors are not aware of the transition until the time is right.
New Castle County, DE
Not Disclosed
EBITDA: $1,020,000
Orange County, CA
Not Disclosed
EBITDA: $1,000,000
$1,200,000
Hartford County, CT
Not Disclosed
EBITDA: $21,000
Virginia
$349,000
Houston, TX
$3,500,000
Los Angeles, CA
$15,000,000
Not Disclosed
Delaware County, PA
Not Disclosed
EBITDA: $1,200,000
St. Louis County, MO
$3,300,000
Information technology and software service businesses listed and sold on BizBuySell include managed IT companies (managed service providers, or MSPs), cyber security firms, software platform consultants, marketing services businesses, and related firms. These businesses offer personalized technology services that cater primarily to businesses, making them more stable and recession resistant than typical consumer focused businesses.
If you are looking to buy or sell an IT or software services company, it’s important to understand how these businesses are valued in the business for sale market. To provide some context, we have aggregated IT and software service business for sale listing data below and surfaced important financial and valuation metrics.
Market Overview
|
Number of Businesses Analyzed |
124 |
|
Median Asking Price |
$1,049,250 |
|
Median Reported Revenue |
$809,418 |
|
Median Reported Earnings |
$290,604 |
|
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
|
IT and Software Services Business Valuation Multiples
|
Range |
Revenue |
Earnings (SDE) |
|
Lower Quartile |
0.76 |
2.76 |
|
Median |
1.24 |
3.46 |
|
Upper Quartile |
2.14 |
5.04 |
|
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
||
Read the Report:
IT and Software Services Business Valuation Multiples & Financial Benchmarks
FAQs
How much does it cost to buy an IT or software services company?
Prices vary depending on the size of the business listed, but the median asking price for an established IT or software services business is $1,049,250.
How much do IT and software services business owners earn?
IT and software services business owners report median annual revenue of $809,418 and annual owner earnings of $290,604. These figures are based on businesses that have listed their annual revenue and seller's discretionary earnings.
How do I value an IT or software services business?
Valuing an IT or software services business involves considering several factors, including annual revenue, profit, growth (or decline) trends, and competition in the app market. 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 among IT and software service businesses listed for sale in the U.S. range from 0.76 to 2.14, with the median at 1.24. Earnings multiples range from 2.76 to 5.04, with the median at 3.46. These values suggest the average IT or software service business listed for sale may trade for around 1.24 times its annual revenue, and 3.46 times its annual owner’s earnings.
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