Tucson, AZ
$349,000

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
Dayton, OH
$50,000
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
J. Darrow Graham
Transworld Business Advisors Grapevine
Serving Tarrant County, TX
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. Since our inception, we have excelled in getting deals done! Contact us and you will understand what makes us the best company to handle any business or commercial real estate sale.
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
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
Norcross, GA
$850,000
Charlotte, NC
Not Disclosed
Cash Flow: $475,344
Iowa
$350,000
Sacramento County, CA
$175,000
Miami, FL
$350,000
Las Vegas, NV
$350,000
Portland, OR
$280,000
Arizona
Not Disclosed
Cash Flow: $578,000
Stamford, CT
$350,000
Not Disclosed
Cash Flow: $469,000
Washington County, PA
$120,000
Akron, OH
$479,000
Benton County, WA
$850,000
Lauren Zenk
Cornerstone Business Partners
Serving Scott County, IA
Call Us For A Confidential, No Cost, No Obligation Consultation
New York County, NY
$4,999,999
Cheyenne, WY
$500,000
Cheyenne, WY
$500,000
Los Angeles County, CA
$732,000
Middlesex County, MA
$200,000
New Bern, NC
$325,000
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: