Philadelphia, PA
$65,000
Philadelphia, PA
$65,000
Ogden, UT
$940,000
REAL ESTATE INCLUDED
Pennsylvania
$4,700,000
New York
$150,000
Orange County, CA
$1,300,000
Salt Lake County, UT
$1,950,000
Royal Oak, MI
$300,000
North Carolina
Not Disclosed
Cash Flow: $4,473,660
Riverside County, CA
$13,000
New Haven County, CT
$325,000
Los Angeles, CA
$320,000
Naples, FL
$39,000
Merchantville, NJ
$40,000
REAL ESTATE INCLUDED
Pauls Valley, OK
$500,000
Kansas
Not Disclosed
EBITDA: $630,000
Nashville, TN
$344,900
Eric Iffland
First Choice Business Brokers - Toledo #242
Serving Lucas County, OH
Since our founding in 1994, First Choice Business Brokers has grown to become one of the nation's most trusted business sales specialists. We have listed and managed the sale of over $7.5 billion in successful business transactions. First Choice Business Brokers provides you with the benefits that only come from experience and years of proven, tested results. Our goal is to give you the kind of foundation you need to make strong business decisions and plan your exit strategy. We are a business brokerage firm, specializing in the sale and purchase of small to medium size main street businesses and commercial properties. Our Toledo office is led by President/Owner Eric Iffland an industry veteran with 35+ years of experience in sales, marketing, and business ownership.
Santa Clara County, CA
$285,000
Hillsborough County, FL
$66,480
Saint Cloud, FL
$75,000
Houston, TX
$80,000
Inglewood, CA
$357,000
Carmichael, CA
$791,500
Oakland, CA
$124,000
Westchester County, NY
$350,000
Wayne County, MI
$150,000
Tampa, FL
$299,900
Houston, TX
$750,000
Texas
$1,000,000
Hillsborough County, FL
$42,000
Georgia
$199,000
Spokane Valley, WA
$975,000
Philadelphia, PA
$325,000
San Diego County, CA
$1,425,000
Mecklenburg County, NC
$945,000
$4,000,000
Not Disclosed
EBITDA: $522,000
Fort Bend County, TX
$79,200
New Jersey
$500,000
Georgetown, SC
$659,000
Avoca, IA
Not Disclosed
Cash Flow: $242,000
Toledo, CA
$108,900
Hillsborough County, FL
$39,000
Bullitt County, KY
$1,125,000
Baton Rouge, LA
$95,000
Scott Lee
Best Choice Realty
Serving Snohomish County, WA
Best Choice Realty
San Francisco, CA
$170,000
Sonoma County, CA
$699,000
Missouri
$850,000
California
Not Disclosed
Cash Flow: $475,000
Lee County, FL
$110,000
Suffolk County, NY
$250,000
Acquisitions of service business are on the rise, and it’s easy to see why. Service businesses provide niche professional support to customers and cover a wide range of industries. The benefits of owning a service business include operational flexibility, high profitability, low overhead costs, minimal inventory and supplies, and the possibility of generating multiple revenue streams. One of the primary advantages of buying an existing service business is that it comes with established credibility in the market.
For those in the market to buy or sell a service business, it’s crucial to gain an understanding of how the market values these businesses, and what average financial performance looks like. To that end, we have aggregated listings data to surface current valuation multiples and typical financials of service businesses.
Market Overview
Number of Businesses Analyzed |
5,359 |
Median Asking Price |
$312,338 |
Median Reported Revenue |
$525,724 |
Median Reported Earnings |
$152,000 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
Service Business Valuation Multiples
Range |
Revenue |
Earnings (SDE) |
Lower Quartile |
0.43 |
1.50 |
Median |
0.72 |
2.43 |
Upper Quartile |
1.08 |
3.44 |
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
Read the Report:
Service Business Valuation Multiples & Financial Benchmarks
Popular Service Businesses
Some of the most popular categories include:
FAQs
How much does it cost to buy a service business?
Prices vary depending on sales volume and financial performance, but the median asking price for a service business in the U.S. is approximately $312,338.
How much do service business owners earn?
These businesses vary in sales volume, but service business owners report median annual sales of $525,724 and annual owner earnings of $152,000. These figures are based on businesses that have listed their annual revenue and seller's discretionary earnings.
How do I value a service business?
Valuing a service business involves considering several factors, including annual revenue, profit, owner earnings, growth (or decline) trends, and historical stability. 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 of service businesses range from 0.43 to 1.08, with the median at 0.72. Earnings multiples range from 1.50 to 3.44, with the median at 2.43. These values indicate that a typical service business may sell for around 0.72 times its annual revenue, and 2.43 times its annual owner’s earnings.
More for Business Buyers:
Set Up Alerts and Notifications
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