Missouri
$479,000
Missouri
$479,000
Decatur, GA
$420,000
Toledo, OH
$100,000
Peoria, IL
$95,000
Saskatoon, SK
$2,000,000
Contra Costa County, CA
$150,000
New Jersey
$750,000
Orlando, FL
$105,000
Walnut Creek, CA
$2,900,000
Gurnee, IL
$400,000
Coconino County, AZ
$750,000
Georgia
$4,000,000
Westport, CT
$295,000
$85,000
Tarpon Springs, FL
Sugar Land, TX
$255,000
Sacramento County, CA
$1,200,000
Johnathan Choe
TransWorld
Serving Los Angeles County, CA
Transworld Business Advisors is the world leader in the marketing and sales of businesses, mergers and acquisitions, and franchises. Whether you represent an acquisition-minded corporation or are personally interested in owning your own company or new franchise, Transworld Business Advisors offers the professional services that successfully bring buyers and sellers together. Transworld Business Advisors was founded in 1979 in South Florida and quickly grew into one of the largest business brokerage firms in the United States. With more than 300 offices in 49 of the United States and in 19 countries, Transworld Business Advisors is the global leader in helping our clients gain global reach while working with local offices that are owned and operated.
Florida
$192,000
Georgia
$1,300,000
Maryland
$700,000
Fort Wayne, IN
$197,000
Denver, LA
$299,890
Detroit, LA
$159,900
Pensacola, NV
$389,900
Las Vegas, NV
$135,000
$1,200,000
Los Angeles County, CA
Marietta, GA
$295,800
Memphis, TN
$389,900
Orlando, LA
$159,899
Greenville, SC
$310,000
Orlando, FL
$470,000
Cobb County, GA
$250,000
Cambridge, WI
$279,000
Volusia County, FL
$107,000
Providence County, RI
$125,000
Fort Bend County, TX
$79,200
$130,000
Saint Louis, MO
Miami, FL
$395,000
Marion County, IN
$249,900
Bonney Lake, WA
$290,000
Prince George's County, MD
$1,699,000
Manteca, CA
$325,000
Cumming, GA
$200,000
Dania Beach, FL
$347,000
Lee County, FL
$1,500,000
Lorena Tomb
URBANLIME Real Estate
Serving Los Angeles County, CA
St. Clair County, MI
$1,695,000
Dane County, WI
$715,000
$110,000
Tucson, AZ
Frederick County, MD
$422,000
Tacoma, WA
$270,000
Lucas County, OH
$255,000
San Luis Obispo County, CA
$920,000
REAL ESTATE INCLUDED
St Germain, WI
$869,900
Macon Brm, GA
$1,000,000
Centre County, PA
$560,000
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: