Gallatin County, MT
$650,000
Gallatin County, MT
$650,000

New York, NY
$1,700,000
Seattle, WA
$170,000

Louisiana
$2,565,000
Nashville, TN
$160,000
Austin, TX
$164,000
New York County, NY
$371,684
New York
$3,840,000
Hennepin County, MN
$225,000
New Castle County, DE
$200,000
Philadelphia County, PA
$500,000
Kentucky
$2,600,000
Rapid City, SD
$125,000
$55,000
Bridgeport, CT
Easton, PA
$299,000
Mobile, AL
$199,000
Arthur Warsoff
Transworld Business Advisors of Utah County
Serving Utah County, UT
Transworld Business Advisors is the world leader in the marketing and sales of businesses, franchises and commercial real estate. Whether you represent an acquisition-minded corporation, or are personally interested in owning your own company, Transworld offers the professional services that successfully bring buyers and sellers together. From business brokerage to mergers and acquisitions; we are the business sale specialists.
Worcester, MA
$206,900
Philadelphia, PA
$150,900
Loudoun County, VA
$99,000
Dallas, TX
$295,000
Saint Louis, MO
$395,000
Bentonville, AR
$241,990
Cuyahoga County, OH
$220,000
Wilson County, TN
$220,500
$599,000
Fulton County, GA
San Diego County, CA
$189,000
Destin, FL
$750,000
Rapid City, SD
$125,000
Shelby County, TN
$279,000
REAL ESTATE INCLUDED
Volusia County, FL
$695,500
Atlanta, GA
$149,900
Raleigh, NC
$219,000
Greenville, SC
$220,000
Vancouver, WA
$320,000
Tampa, FL
$169,900
$450,000
Camarillo, CA
Pearl River, NY
$400,000
New York, NY
$275,000
Port Jervis, NY
$200,000
Stroudsburg, PA
$200,000
Newark, DE
$150,000
Levittown, PA
$450,000
Burlington, NJ
$200,000
Lancaster, PA
$595,000
Jason Thomas
Raincatcher
Serving Denver County, CO
Raincatcher is a national business brokerage and mergers and acquisitions firm committed to giving you the ultimate edge in the marketplace and get top dollar for your business, by using our years of experience to make sure your company is in tip-top sale-ready shape, and then guide you through every step in the sales process. At Raincatcher, we rapidly transform small to medium-sized businesses into companies that are built to sell, and in turn help buyers find remarkable enterprises in which to create their own legacy.
Newark, DE
$495,000
Philadelphia, PA
$495,000
$185,000
Cinnaminson, NJ
$495,000
Westlake, LA
$275,000
North Myrtle Beach, SC
$165,000
Westmont, NJ
$240,000
Brunswick County, NC
$500,000
South Bend, IN
$55,000
Westchester County, NY
$260,000
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:
Set Up Alerts and Notifications
Business Buyer Learning Center
More for Business Sellers: