Passaic County, NJ
$650,000
Passaic County, NJ
$650,000
Austin, TX
$525,000
Kings County, NY
$299,000
Lee County, FL
$2,100,000
Tennessee
$2,700,000
Mcduffie County, GA
$574,900
North Carolina
$150,000
Orlando, FL
$159,000
Walnut Creek, CA
$2,000,000
Riverside County, CA
$200,000
Palmetto, FL
$9,122,000
Virginia Beach County, VA
$4,300,000
North Carolina
$825,000
$325,000
Florida
Humboldt, IA
$775,000
San Diego, CA
$875,000
Cheryl Newton
Berkshire Hathaway HomeServices Fox and Roach
Serving Chester County, PA
Berkshire Hathaway HomeServices Fox & Roach, REALTORS®, is a part of HomeServices of America, the nation's second largest provider of total home services. Through its affiliate, the Trident Group, the company provides one-stop shopping and facilitated services to its clients including mortgage financing, and title, property and casualty insurance.
Horry County, SC
$295,000
Barrow County, GA
$199,500
Phoenix, AZ
$850,000
Cincinnati, OH
$795,000
$159,900
Irvine, CA
$4,400,000
Nashville, TN
$305,000
Reno, NV
$795,000
$15,000
Tomball, TX
Missouri
$479,000
Birmingham, MI
$185,000
Decatur, GA
$420,000
Toledo, OH
$100,000
Peoria, IL
$95,000
Saskatoon, SK
$2,000,000
Contra Costa County, CA
$150,000
Bergen County, NJ
$1,260,000
New Jersey
$750,000
Orlando, FL
$105,000
$1,900,000
Elgin, IL
Walnut Creek, CA
$2,900,000
Gurnee, IL
$400,000
New Hampshire
$2,600,000
Coconino County, AZ
$750,000
Fulton County, GA
$4,000,000
Sacramento County, CA
$1,200,000
Florida
$192,000
Virginia
$1,500,000
Christopher Goebel
Crossroads Advisers
Serving Cuyahoga County, OH
Growing up in an entrepreneurial business founded by his father in 1964, Christopher went from sweeping floors to becoming President & General Manager of Lakefront Lines/Coach USA. Working alongside his father and five siblings, he helped grow our business into a $38.9 million enterprise. Managing the family business through a generational transition, privately-equity ownership, and then to a publicly-traded company, Christopher learned firsthand the challenges of scaling, operating, and exiting a successful business enterprise – and has a passion for sharing the wisdom he has gained in a lifelong career as a visionary and performance-driven executive. In 2016, Christopher founded Crossroads Advisers with a mission: to share lessons learned of the business transition and succession/exiting with other business owners from a Business Owner’s Perspective.
Georgia
$1,300,000
Maryland
$700,000
$295,000
Norwood, MA
Nassau County, NY
$105,000
North Carolina
$450,000
Fort Wayne, IN
$197,000
Denver, LA
$299,890
$159,900
Las Vegas, NV
$389,900
Las Vegas, LA
$135,000
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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