California
$10,500,000
California
$10,500,000
Ohio
$995,000
Cornelia, GA
$395,000
New Braunfels, TX
$55,000
Scarsdale, NY
$375,000
Aurora, IN
$975,000
Tucson, AZ
$489,750
Marietta, LA
$310,499
Pierce County, WA
$400,000
Greenville, OK
$100,000
Orlando, FL
$75,000
Kissimmee, FL
$260,000
Akron, OH
$269,900
Cleveland, OH
$274,900
Allentown, PA
$279,900
Harrisburg, PA
$284,900
Eric Marchand
MARCHAND REALTY LLC
Serving Broward County, FL
Fort Wayne, IN
$289,900
Kansas City, MO
$269,900
Jackson, MS
$274,900
Detroit, MI
$279,900
Boston, MA
$284,900
Bangor, ME
$289,900
North Carolina
$26,549,000
Texas
$1,650,000
Phoenix, AZ
$750,000
$225,000
$350,000
Middlesex County, CT
$800,000
Mount Dora, FL
$250,000
Chattanooga, TN
$875,000
Idaho Falls, ID
$240,000
Atlanta, LA
$310,500
Tulsa, OK
$490,000
Cedar Rapids, IA
$599,000
Mecklenburg County, NC
Not Disclosed
EBITDA: $1,480,000
North Carolina
$2,225,000
Tacoma, WA
$265,000
Cobb County, GA
$850,000
Los Angeles, NC
$300,000
Boulder, CO
$489,750
Riverside, UT
$399,000
Raleigh, NC
$99,900
Riverside, CA
$550,000
Tennessee
Not Disclosed
EBITDA: $473,000
Simon Assaf
Matthews Real Estate Investment Services
Serving Maricopa County, AZ
Simon Assaf specializes in the disposition and acquisition of single-tenant net lease properties across the United States, as well as business and real estate transactions within the car wash and gas station space. His in-depth knowledge and target markets allow him to create immense value and enhance his client’s portfolios through M&A, sale leasebacks, 1031 exchanges, etc. As a sale leaseback expert, Simon helps owners liquidate capital and reinvest it into their portfolios for optimal profit and business development. Sellers reap the monetary benefits a sale leaseback offers, while buyers are often given more customizable lease terms and increased NOI. Additionally, through M&A, Simon strategically positions companies to achieve growth, enhance competitiveness, and create value for stakeholders. Aside from Simon’s expertise in providing excellent value add to his clients, he has an extensive client relations background. Simon has earned the respect of some of the industry’s largest developers, tenants, syndicators, and publicly traded REITs with whom he has worked. Recognized as an expert in his field, Simon aided and led the expansion of Matthews™ into the Phoenix market.
Arizona
Not Disclosed
Cash Flow: $3,887,000
Not Disclosed
EBITDA: $248,000
Dawson County, GA
$728,991
Tulsa, OK
$489,995
Monroe County, FL
$525,000
Annapolis, MD
$195,000
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: