Charlotte, NC
$349,000

Charlotte, NC
$349,000

Mount Dora, FL
$145,000
Tallahassee, FL
$99,999
Jersey City, NJ
$205,000
Glendale, AZ
$350,000
Marietta, GA
$229,900
Hollis Hills, NY
$695,000
Fullerton, CA
$550,000
Cleveland, OH
$479,000
Las Vegas, NV
$200,000
California
$42,000,000
Broward County, FL
$155,000
Batavia, NY
$150,000
Buffalo, NY
$150,000
Denver, CO
$450,000
REAL ESTATE INCLUDED
Minnesota
$2,500,000
Greg Michail, CBB
Sunbelt Business Brokers of Pasadena
Serving Los Angeles County, CA
Sunbelt Business Brokers of Pasadena (SBBP) is a Southern California based firm specializing in business mergers, acquisitions, and valuations. It is part of the worldwide Sunbelt Network of over 300 offices. Sunbelt specializes in small and medium size privately held companies with a particular emphasis on manufacturing, distribution and select business-to-business service industries. Sunbelt is dedicated to providing clients with confidential and professional representation and assisting them in achieving their business objective. For more information, log on www.sunbeltpasadena.com.
Las Vegas, NV
$399,900
St. Louis County, MO
$350,000
Saint Louis, MO
$535,000
Fort Lauderdale, FL
$399,899
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, OH
$399,899
Suffolk County, NY
$300,000
Suffolk County, NY
$899,999
Ohio
$300,000
Woodbridge, NJ
$1,510,000
Illinois
$1,800,000
Pinellas County, FL
$275,000
Florida
$1,050,000
Elk Grove, CA
$215,000
Georgetown County, SC
$125,000
East Islip, NY
$399,000
Washington
$840,000
Hillsborough County, NH
$949,000
Ohio
Not Disclosed
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
Not Disclosed
Cash Flow: $1,000,000
Brian Smith
IA Business Advisors
Serving Kane County, IL
Our founder began his career as an accountant but did not enjoy public accounting. After a short term at a big 6 accounting firm, he started Business Accounting Solutions in 1988, which he later sold to Cornerstone Consulting Group. Recognizing the need many small businesses had for sound management advice, Brian went on to start Individual Advantages, LLC, which was later rebranded to IA Business Advisors in 2015, as a think tank to develop customized, yet affordable, business solutions driven by our focus on people, process, and technology. Our client base has always varied, ranging from large fortune 500, to small and medium sized community based businesses. When the Great Recession hit in 2008, we began to work with businesses in trouble due to the economic decline who struggled to afford consulting services and an ability to be represented through the business sale, succession or merger & acquisition process. Recognizing this, Brian began offering on-demand consulting services, through which businesses hindered by a strained economic environment and a restricted budget could consult with our company on an hourly basis for a lower more economical fee. This service became so popular that we have continued it to this day. During the business sales, succession, mergers and acquisitions process, companies often forget about their foundation: people and process. These are the two things that need the most attention during this huge transition, and the IA Business Advisors team are proficient in focusing on your foundation to better represent you and your organization to keep you organized through whichever transition process you may be going through. Our unique BizVision process pinpoints the metrics, processes, and people that will be the driving force behind the success of your business sale, succession, merger or acquisition. IA Business Advisors business business brokerage, success, merger and acquisition services was born out of our founder’s experience on a mergers and acquisitions team for a large NASDAQ traded company in the 1990s. After helping several acquisitions of small businesses around the world, our founder learned the importance of balance in the marketing, negotiation and due diligence process – balancing the focus on metrics, as well as policy, procedure, people, process, and technology. We have been involved in hundreds of business sales, successions, merger and acquisition projects since our conception in 1996.
Largo, FL
$100,000
Astoria, NY
$1,300,000
REAL ESTATE INCLUDED
Colorado
$925,000
San Antonio, TX
$149,900
Jacksonville, FL
$251,000
REAL ESTATE INCLUDED
Jefferson County, AL
$2,500,000
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.
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