Houston, TX
$750,000
Houston, TX
$750,000
Texas
$1,000,000
Hillsborough County, FL
$42,000
Georgia
$199,000
Spokane Valley, WA
$975,000
Philadelphia, PA
$325,000
Mecklenburg County, NC
$945,000
$4,000,000
Not Disclosed
EBITDA: $522,000
New Jersey
$500,000
Georgetown, SC
$659,000
Avoca, IA
Not Disclosed
Cash Flow: $242,000
Toledo, CA
$108,900
Bullitt County, KY
$1,125,000
Baton Rouge, LA
$95,000
San Francisco, CA
$170,000
Sunbelt Business Advisors
Sunbelt Business Advisors
Serving Ramsey County, MN
When it’s time to sell your company, hire the #1 firm in the country. Sunbelt Business Advisors of Minnesota is the only firm in history to receive all three top firm awards in the same year from the International Business Brokers Association (IBBA), including: • #1 firm for total numbers of businesses sold • #1 firm for total sale price of businesses sold • #1 firm for largest transaction Our Main Street division specializes in selling companies under $10 million in revenue. Business owners, ask about our 90-day guaranty. Our M&A division (True North M&A) specializes in selling companies between $10-150 million in revenue. Our QuietAuction™ process helps business owners maximize their life’s work when they are ready to exit. Whatever your company size, whatever your exit goals, we help founder and family-owned companies achieve their personal and financial goals when they are ready to exit. Contact us to have a quiet conversation about your successful exit. Business Buyers: First Time Buyers: Check out our buyer education webinars. Then inquire on your first business. You’ll be asked to fill out a New Buyer Account form to let us know who you are and how much of your own capital you wish to invest. Private Equity Groups and Strategic Buyers: We understand what PE and Strategic Buyers are looking for to analyze an opportunity. If you are seeking acquisitions of $2+ million EBITDA visit tnma.com and register for our newsletter. These opportunities are not posted on most business for sale websites.
Sonoma County, CA
$699,000
Missouri
$850,000
California
Not Disclosed
Cash Flow: $475,000
Lee County, FL
$110,000
Suffolk County, NY
$250,000
Hollywood, FL
$600,000
Las Vegas, NV
$1,800,000
Tarrant County, TX
$85,000
Lakeland, FL
$150,000
REAL ESTATE INCLUDED
Hollis, OK
$299,000
Columbia, SC
$89,000
$274,990
Illinois
$1,050,000
California
$657,000
Colorado
$3,000,000
Richmond, VA
$60,000
Spokane, WA
Not Disclosed
EBITDA: $1,075,000
St. Louis County, MO
$325,000
Williamsport, PA
$105,000
Oceanside, CA
$2,300,000
Albany, CA
$189,000
Not Disclosed
EBITDA: $10
Okanagan, BC
$299,000
REAL ESTATE INCLUDED
Missouri
$750,000
San Antonio, TX
$3,750,000
Minnesota
$60,000
Texas
Not Disclosed
EBITDA: $321,000
North Carolina
$3,100,000
Colliers & Acquisitions
Colliers
Serving Salt Lake County, UT
Our team can advise you on business valuation and exit planning; market your company to a proprietary pool of well-capitalized, qualified, serious buyers; and negotiate a win-win transaction. We see your deal through to a successful close, utilizing a broad network of tax, lending and legal experts. We also help buyers find the right fit for their needs, whether as an owner-operator, a strategic acquirer or a financial investor. Partnering with the Bush Gordon M&A Team provides you with a significant advantage that can make the difference between a successful outcome and a failed deal.
Kennesaw, GA
$275,000
Houston, TX
$249,900
Saint Louis, MO
$50,000
Calaveras County, CA
$195,000
Not Disclosed
Miami, FL
$350,000
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.
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