California
$99,000

California
$99,000

San Diego, CA
$875,000

Orange County, CA
$599,000

Santa Clara County, CA
$50,000
Los Angeles, CA
$170,000
California
$750,000
San Francisco, CA
$175,000
Los Gatos, CA
$75,000
Culver City, CA
$550,000
San Diego County, CA
$370,000
Available Nationwide
$50,000
Los Angeles County, CA
$24,995,000
Los Angeles, CA
$50,000
$350,000
Sonoma County, CA
San Leandro, CA
$325,000
Los Angeles, CA
$269,000
Scott Reid
Parasell Inc
Serving Orange County, CA
ParaSell, Inc. is a national real estate services and consulting firm that specializes in commercial leasing and investment sales. We work with principals across the nation and have a proven process, proprietary time-saving technology, dedicated support staff and a relentless commitment to customer service.
California
$378,263
Danville, CA
$350,000
Santa Rosa, CA
$85,000
Menlo Park, CA
$675,000
Santa Ana, CA
$295,000
Available Nationwide
$75,000
Contra Costa County, CA
$550,000
Long Beach, CA
$225,000
$150,000
San Luis Obispo County, CA
Torrance, CA
$275,000
Los Angeles, CA
$550,000
Pasadena, CA
$5,500,000
Riverside, CA
$250,000
Elk Grove, CA
$2,000,000
South Pasadena, CA
$250,000
San Ramon, CA
$200,000
Available Nationwide
$50,000
Contra Costa County, CA
$150,000
Bloomington, CA
$1,295,000
$1,200,000
Los Angeles County, CA
South San Francisco, CA
$1,179,000
Sacramento, CA
$1,750,000
Available Nationwide
$50,000
Watsonville, CA
$695,000
San Diego County, CA
$110,400
Ventura, CA
$405,500
Fullerton, CA
$525,000
Placer County, CA
$185,000
Rachael Yun
California Bridge Realty
Serving Orange County, CA
As a Real Estate Professional team, CalBridge team recognizes and values trust in their client's place as a Buyer , Seller and investor. CalBridge strive to do their very best every day to exceed their client's expectations. CalBridge team's sales consistently go up in the plethora of multifaceted real estate translations including Commercial, New Construction Sales, Residential re-sale, Real Estate Investment, Property Management, and The First Time Home Buyer. Additionally, CalBridge property management department will give their best service in the area which includes finding and qualifying tenants in a short period of time and managing smoothly without any problems.
Temple City, CA
$235,888
Lake County, CA
$408,000
Oxnard, CA
Ventura County, CA
$1,200,000
Orange, CA
$150,000
Available in California
$50,000
Murrieta, CA
$100,000
Santa Fe Springs, CA
$185,000
San Francisco, CA
$65,000
California
$650,000
San Diego County, CA
$625,000
San Diego County, CA
$179,000
Los Angeles, CA
$695,000
Pasadena, CA
$275,000
San Diego County, CA
$405,000
Available in California
$200,000
For those in the market to buy or sell a service business in California, 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 California service businesses.
Market Overview
|
Number of Businesses Analyzed |
423 |
|
Median Asking Price |
$322,500 |
|
Median Reported Revenue |
$400,000 |
|
Median Reported Earnings |
$136,896 |
|
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
|
California Service Business Valuation Multiples
|
Range |
Revenue |
Earnings (SDE) |
|
Lower Quartile |
0.52 |
1.76 |
|
Median |
0.80 |
2.58 |
|
Upper Quartile |
1.18 |
3.47 |
|
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
||
Read the Report:
Service Business Valuation Multiples & Financial Benchmarks
FAQs
How much does it cost to buy a service business in California?
Prices vary depending on sales volume and financial performance, but the median asking price for a service business in California is approximately $322,500.
How much do service business owners earn?
These businesses vary in sales volume, but California service business owners report median annual sales of $400,000 and annual owner earnings of $136,896. 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 in California range from 0.52 to 1.18, with the median at 0.80. Earnings multiples range from 1.76 to 3.47, with the median at 2.58. These values indicate that a typical service business in California may sell for around 0.80 times its annual revenue, and 2.58 times its annual owner’s earnings.
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