Mobile County, AL
$149,000
Mobile County, AL
$149,000
Tucson, AZ
$349,000
Citrus County, FL
$1,800,000
Charleston, SC
$285,000
Texas
$315,000
REAL ESTATE INCLUDED
Dougherty County, GA
$3,995,000
Cleveland, TX
$399,899
Suffolk County, NY
$300,000
Suffolk County, NY
$899,999
Dayton, OH
$50,000
Ohio
$300,000
REAL ESTATE INCLUDED
Beaumont, TX
$995,000
Woodbridge, NJ
$1,049,500
Illinois
$1,800,000
Pinellas County, FL
$275,000
Florida
$1,050,000
Trevin Rasmussen
Bristol Group
Serving Ada County, ID
The Bristol Group is a Business Brokerage and Merger & Acquisition firm that specializes in representing business owners who want to sell their companies. The firm was founded in 2005 and has offices in 20 cities across the country. The Bristol Group's team of experienced brokers works closely with business owners to evaluate their companies, develop effective marketing strategies, identify and qualify potential buyers, and negotiate deals that meet their clients' objectives. They have a reputation for providing personalized service and achieving successful outcomes for their clients. The Bristol Group maintains confidentiality and discretion throughout the selling process and strives to provide their clients with the highest level of professionalism and integrity.
Mecklenburg County, NC
$225,000
Miami Beach, FL
$145,000
Elk Grove, CA
$215,000
Georgetown County, SC
$125,000
East Islip, NY
$399,000
Washington
$840,000
British Columbia, BC
$1,900,000
Hillsborough County, NH
$949,000
Ohio
Cash Flow: $664,000
Wichita, KS
$197,000
Maricopa County, AZ
$95,000
Vancouver Island, BC
$1,499,000
Illinois
$650,000
Plymouth County, MA
Cash Flow: $1,000,000
Nashville, TN
$220,000
Largo, FL
$100,000
Astoria, NY
$1,300,000
REAL ESTATE INCLUDED
Colorado
$925,000
Bristol County, MA
$149,900
Tulsa, NE
$251,000
Pittsburgh, PA
$249,890
REAL ESTATE INCLUDED
Jefferson County, AL
$2,500,000
Norcross, GA
$970,000
Indiana
$750,000
Charlotte, NC
Cash Flow: $475,344
Iowa
$350,000
Baldwin County, AL
$199,000
Sacramento County, CA
$175,000
Malcom Hay
Tri-County Business Brokers
Serving Marion County, FL
Miami, FL
$350,000
Las Vegas, NV
$350,000
Portland, OR
$280,000
Arizona
Cash Flow: $578,000
Stamford, CT
$350,000
Cash Flow: $469,000
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:
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More for Business Sellers: