Suffolk County, NY
$695,000

Suffolk County, NY
$695,000

Santa Rosa Beach, FL
$175,000

Kansas
$500,000

Indiana
$625,000
Wheaton, IL
$49,000
Dallas County, TX
$405,000
Flemington, NJ
$565,000
Naperville, IL
$100,000
Camden County, NJ
$400,000
Tulsa County, OK
$155,000
Alpharetta, GA
$55,000
Johns Creek, GA
$55,000
Illinois
$250,000
REAL ESTATE INCLUDED
Ontario
$1,650,000
Michigan
$99,000
Amherst, NY
$175,000
Anthony Tarricone
Sunbelt Business Brokers
Serving Westchester County, NY
Sunbelt business brokers of Westchester have experienced business owners and operators as business brokers. This means we understand your company from an operational and financial point of view. Whether you’re ready to sell or looking to expand speaking with our team will bring clarity. All calls are confidential. 914 559-2522
Harris County, TX
$9,996,000
Cleveland, OH
$210,000
Ventura County, CA
$190,000
Kings County, NY
$350,000
Miami, FL
$950,000
Bronx, NY
$399,000
Richmond, VA
$90,000
REAL ESTATE INCLUDED
Missouri
$1,750,000
Miami, FL
$199,000
Bronx, NY
$330,000
Virginia
$749,000
Alameda County, CA
$800,000
New Jersey
$500,000
REAL ESTATE INCLUDED
Bronx, NY
$1,950,000
Keasbey, NJ
$379,900
Not Disclosed
Cash Flow: $5,410,000
Montgomery County, MD
$275,000
Madison, TN
$6,250,000
$40,000
Saint Louis, MO
$550,000
Greater Hamilton Area, ON
$550,000
Allegheny County, PA
$75,000
Philadelphia, PA
$1,020,023
Michigan
$375,000
Berks County, PA
$300,000
REAL ESTATE INCLUDED
Georgia
$19,500,000
Georgia
$27,000,000
Santa Rosa, CA
$525,000
Markos Bertolotti
Fausto Commercial Realty
Serving Miami-Dade County, FL
“We Specialize and Maximize in Adding Value to your Property and Business!”
California
$125,000
REAL ESTATE INCLUDED
Illinois
$195,000
Virginia
$485,000
Ozone Park, NY
$750,000
Muskegon County, MI
$525,000
Victoria, BC
$590,000
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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