Kansas City, MO
$269,900
Kansas City, MO
$269,900
Jackson, MS
$274,900
Detroit, MI
$279,900
Boston, MA
$284,900
Bangor, ME
$289,900
North Carolina
$26,549,000
Texas
$1,650,000
Phoenix, AZ
$750,000
$225,000
$350,000
Middlesex County, CT
$800,000
Mount Dora, FL
$250,000
Chattanooga, TN
$875,000
Idaho Falls, ID
$240,000
Atlanta, GA
$310,500
Joe Robinson
NAI Norwood Group
Serving Rockingham County, NH
NAI Norwood Group is an affiliate of NAI Global, the world’s leading managed network of independently owned commercial real estate brokerage firms. Through this network of 350 offices in 55 countries, NAI Norwood Group is able to leverage their strong local experience around the world. Whether your commercial real estate needs require local expertise, or you need brokerage consulting around the world, the firm is here to help. With our extensive background and strong local contacts, we are able to assist individual corporations in negotiating leases, sales, business brokerage, investments, relocation, site selection and development.
Tulsa, OK
$490,000
Cedar Rapids, IA
$599,000
Mecklenburg County, NC
Not Disclosed
EBITDA: $1,480,000
North Carolina
$2,225,000
Tacoma, WA
$200,000
Cobb County, GA
$850,000
Los Angeles, CA
$300,000
Boulder, CO
$489,750
Riverside, CA
$399,000
Raleigh, NC
$99,900
Riverside, CA
$550,000
Tennessee
Not Disclosed
EBITDA: $473,000
Arizona
Not Disclosed
Cash Flow: $3,887,000
Not Disclosed
EBITDA: $248,000
Dawson County, GA
$728,991
Tulsa, OK
$489,995
Monroe County, FL
$525,000
Annapolis, MD
$195,000
Topeka, KS
$489,995
Macon, GA
$195,000
Colorado
$476,000
Not Disclosed
EBITDA: $374,457
Westchester County, NY
$275,000
San Bernardino County, CA
$730,000
Not Disclosed
EBITDA: $1,219,000
Pinellas County, FL
$899,000
Paul Robinson
Transworld
Serving Canada
Before you decide on selling your company, you owe it to yourself to call Transworld Business Advisors. There is no obligation, just a confidential conversation about how to sell your company and how much it is worth, now and in the future!
Wake County, NC
$2,350,000
Staten Island, NY
$980,000
Chicago, IL
$7,200,000
Colorado
$425,000
Suffolk County, NY
$1,250,000
Blackfoot, ID
$185,000
Fairfax, VA
$489,750
Tulsa, OK
$490,000
Providence, RI
$475,000
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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