Walnut, CA
$95,000

Walnut, CA
$95,000
Marina Del Rey, CA
$150,000

Redwood City, CA
$100,000

Los Angeles, CA
Not Disclosed
San Francisco, CA
$425,000
Rancho Santa Margarita, CA
$49,000
Los Angeles, CA
$725,000
Long Beach, CA
$80,000
Oak Park, CA
Not Disclosed
Los Angeles, CA
$55,000
Whittier, CA
$250,000
Los Angeles, CA
$140,000
Huntington Beach, CA
$155,000
Santa Ana, CA
$189,900
Rolling Hills Estates, CA
$99,000
West Covina, CA
$120,000
Umang Kathrani
Alliance Bay Realty
Serving Alameda County, CA
Business Broker for East Bay Area
Orange, CA
$115,000
Rancho Cucamonga, CA
$630,000
Alameda County, CA
$150,000
Walnut Creek, CA
$79,990
West Los Angeles, CA
$240,000
Campbell, CA
$224,900
Sherman Oaks, CA
$165,000
Santa Barbara, CA
$425,000
Los Angeles, CA
$99,000
Rancho Cucamonga, CA
$350,000
Los Angeles, CA
$50,000
San Francisco, CA
$87,000
San Diego, CA
$330,000
San Diego County, CA
$129,000
Huntington Beach, CA
$80,000
Pacific Beach, CA
$90,000
La Jolla, CA
$350,000
Sherman Oaks, CA
$400,000
Pasadena, CA
$575,000
Los Angeles, CA
$220,000
Corona, CA
$59,000
Newport Beach, CA
$350,000
Santa Ana, CA
$179,900
Berkeley, CA
$180,000
Camarillo, CA
$199,000
El Monte, CA
$85,000
Placer County, CA
$90,000
Tustin, CA
$150,000
Arthur Huang
Pinnacle Real Estate Group
Serving Los Angeles County, CA
Artesia, CA
$270,000
Sherman Oaks, CA
$295,000
San Jose, CA
$198,000
San Francisco, CA
$69,000
Garden Grove, CA
$129,000
Placentia, CA
$129,000
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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