New York County, NY
$4,500,000
Plumbing Established Businesses For Sale
Industry Info
Buy or Sell a Plumbing Business
Plumbing companies are always needed, no matter the macroeconomic circumstances. While these businesses ebb and flow like any other, they remain a staple need in every community.
If you are looking to buy or sell a plumbing business, it’s helpful to have some context on industry standards in terms of how these businesses perform financially, and how they are valued. To help provide some insight into the plumbing business for sale market, we have aggregated listing data and compiled a list of frequently asked questions (FAQs) related to buying or selling a plumbing business.
Market Overview
|
Number of Businesses Analyzed |
214 |
|
Median Asking Price |
$600,000 |
|
Median Reported Revenue |
$1,000,000 |
|
Median Reported Earnings |
$250,000 |
|
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
|
Plumbing Business Valuation Multiples
|
Range |
Revenue |
Earnings (SDE) |
|
Lower Quartile |
0.46 |
1.76 |
|
Median |
0.71 |
2.50 |
|
Upper Quartile |
1.07 |
3.36 |
|
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
||
Read the Report:
Plumbing Business Valuation: Multiples & Financial Benchmarks
FAQs
How much does it cost to buy a plumbing business?
The cost to purchase a plumbing company can vary significantly based on location, size, and revenue, but the median asking price for plumbing businesses analyzed is approximately $600,000.
How much do plumbing business owners earn?
Plumbing business owners report a median annual revenue of $1,000,000 and median annual earnings of $250,000. This represents seller's discretionary earnings, which include the owner’s salary and any additional financial benefits the owner receives.
How do I value a plumbing business?
Valuing a plumbing company typically involves assessing its annual revenue and earnings, then comparing it to other plumbing businesses selling or recently sold in a similar market. Buyers and sellers typically start by applying valuation multiples derived from similar businesses that are selling, or recently sold.
Plumbing business revenue multiples range from 0.46 to 1.07, with a median of 0.71. Earnings multiples range from 1.76 to 3.36, with the median at 2.50. This means the average plumbing business may sell for around 0.71 times its annual revenue, and 2.5 times its annual owner earnings.
More for Business Buyers:
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