San Bernardino County, CA
$109,000
San Bernardino County, CA
$109,000
Mountain View, CA
$1,500,000
Petaluma, CA
$120,000
Los Angeles County, CA
$1,495,000
Sherman Oaks, CA
$395,000
Los Angeles, CA
$575,000
Huntington Beach, CA
$180,000
Long Beach, CA
$125,000
Alameda County, CA
$300,000
San Diego County, CA
$189,999
Sacramento, CA
$300,000
Sunnyvale, CA
$330,000
Los Angeles, CA
$299,000
$289,000
Riverside, CA
Fort Bragg, CA
$450,000
Huntington Beach, CA
$195,000
Ken Davis
Champion properties/Div of Fortunes Unlimited
Serving San Bernardino County, CA
long established business brokerage. serving riverside county calif.
Torrance, CA
$300,000
San Diego County, CA
$799,000
Hayward, CA
$200,000
Chino, CA
$250,000
La Habra, CA
$98,500
San Francisco, CA
$159,000
San Francisco, CA
$159,000
Studio City, CA
$165,000
$168,000
Rancho Cordova, CA
Beverly Hills, CA
$385,000
Santa Clara, CA
$150,000
San Francisco, CA
$500,000
Palo Alto, CA
$400,000
San Francisco, CA
$700,000
San Francisco, CA
$67,000
La Verne, CA
$70,000
Redwood City, CA
$245,000
Yolo County, CA
$300,000
San Diego, CA
$300,000
$415,000
Stanislaus County, CA
San Francisco, CA
$490,000
Livermore, CA
$274,999
San Jose, CA
$289,000
Alameda, CA
$249,999
Alameda, CA
$75,000
Los Angeles, CA
$600,000
Los Alamitos, CA
$200,000
Milpitas, CA
$288,000
Tommy Taylor
Executive Realty Group
Serving Riverside County, CA
Redwood City, CA
$228,000
Anaheim, CA
$98,000
La Habra, CA
$50,000
West Hollywood, CA
$500,000
Fremont, CA
$230,000
Bakersfield, CA
$180,000
San Bruno, CA
$179,000
Norco, CA
$55,000
Orange County, CA
$150,000
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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