North Carolina
$1,150,000
North Carolina
$1,150,000
Lenexa, KS
$450,000
Maine
$235,000
Bergen County, NJ
$590,000
Fairfield County, CT
$795,000
Fairfield County, CT
$1,450,000
Chicago, MN
$204,990
El Monte, CA
$205,000
Upland, CA
$280,000
Washington
Not Disclosed
Cash Flow: $500,000
Harford County, MD
$1,100,000
Denver, CO
$650,000
Raleigh, NC
$160,000
Naples, FL
$250,000
Houston, TX
$350,000
REAL ESTATE INCLUDED
Scottsdale, AZ
$1,400,000
Doug Kose
Transworld Business Advisors of Knoxville and Chattanooga
Serving Knox County, TN
Transworld Business Advisors is the world leader in the marketing and sales of businesses and franchises. We are a global network of brokers offering turnkey solutions for those that want to buy or sell a business. Whether you represent an acquisition-minded corporation, or are personally interested in owning your own company, Transworld Business Advisors of Knoxville offers the professional services that successfully bring buyers and sellers together. Transworld Business Advisors has been selected the Best of Knoxville in the Business Broker category for 2019, 2020, 2021, 2022, 2023 and 2024.
Mecklenburg County, NC
$449,000
Flagstaff, AZ
$70,000
Stark County, OH
$49,900
Lucas County, OH
$50,000
Cobb County, GA
$800,000
Clark County, NV
$109,000
El Cajon, CA
$1,200,000
Orange County, CA
$400,000
King Of Prussia, PA
$550,000
Saint Louis, MO
$575,000
Riverside County, CA
$1,200,000
Not Disclosed
Cash Flow: $988,400
Waukesha, WI
$725,000
Chester County, PA
$300,000
Brooklyn, NY
$375,000
Claremont, NH
$200,000
Charleston, SC
$299,999
Martin County, FL
$46,600
Tampa, FL
$78,600
Lakewood, CO
$900,000
Montgomery County, TX
$165,000
Manassas, VA
$130,000
New York, NY
$650,000
Mercer County, NJ
$85,000
Florida
$325,000
Charlotte, NC
$225,000
Kennesaw, GA
$220,000
Tucson, AZ
$49,000
Jeff Post
First Colorado Land Office Inc.
Serving Chaffee County, CO
First Colorado Land Office is a premier real estate company in Salida & Buena Vista Colorado. Since 1973 we have led the way in Chaffee County real estate for the surrounding areas in sales, service, and satisfaction. We help you to sell or buy a home in the beautiful mountain towns of Salida and Buena Vista. You can find all types of homes and properties with us from very affordable to more luxurious and sprawling. We offer properties across the financial spectrum to accommodate your needs for housing and land ownership.
Phoenix, AZ
$169,000
Lancaster County, PA
$250,000
Miami-Dade County, FL
$1,950,000
Houston, TX
$979,000
Hamilton County, OH
Not Disclosed
Cash Flow: $1,018,000
Morris County, NJ
$125,000
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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