West Palm Beach, FL
$399,000
West Palm Beach, FL
$399,000
Atlanta, GA
$80,000
Albuquerque, NM
$1,700,000
San Diego, CA
$199,999
REAL ESTATE INCLUDED
Minneapolis, MN
$2,400,000
REAL ESTATE INCLUDED
New York
$7,500,000
Wichita, KS
$199,000
Minneapolis, MN
$995,000
$1,400,000
Greensburg, PA
$899,000
REAL ESTATE INCLUDED
Puerto Rico
$2,000,000
Florida
$2,499,000
North Carolina
Not Disclosed
Cash Flow: $1,124,940
REAL ESTATE INCLUDED
Michigan
$3,400,000
Chester County, PA
$5,500,000
Arlington County, VA
Not Disclosed
Cash Flow: $2,010,000
Ed O'Sullivan
VR Business Sales Bucks County
Serving Bucks County, PA
Valued Representation…It’s the meaning behind our name; it’s what we deliver to every client. VR Business Sales / Mergers & Acquisitions are proud of its heritage as the leader in sales and transfer of the privately-held business since 1979. It is even prouder knowing that it has helped hundreds of thousands of families live the American dream of business ownership. These same people are those who make up the business communities in every town and city, and who drive job creation and economies. The strength of the VR organization is its people. We are the only network of full-time professional business intermediaries in the world. Consequently, we have proven our value to business clients across the country and around the globe. It's who we are, it's what we deliver. Our local office in Bucks County Pennsylvania (Newtown PA) is ready to assist you. Long gone are the days of trickery and deception to obtain listings of businesses we know will never sell near the asking price. The entrepreneur leans on us for advice and for a trusting relationship to develop there must be full transparency. We must look to the future and realize that this difference alone separates VR, but as an organization of professionals we have so much more to accomplish.
Oakland, CA
$69,900
Boise, ID
$199,000
Woody Creek, CO
$225,000
Indian River County, FL
$57,600
Knox County, TN
$795,000
Memphis, TN
$154,950
Carson, CA
$895,000
Denver, CO
$99,000
Kansas
$275,000
San Joaquin County, CA
$350,000
Tucson, AZ
$170,000
Boston, MA
$190,000
Oklahoma City, OK
$859,000
Tampa, FL
$48,900
Minnesota
$2,750,000
Wilmington, DE
$155,000
Minnesota
$60,000
Nassau County, NY
$1,799,000
North Carolina
$825,000
Phoenix, AZ
$164,000
Boise, ID
$155,000
Colorado
$1,590,000
King County, WA
$1,250,000
Astoria, NY
$155,000
Not Disclosed
EBITDA: $1,771,000
Fort Lauderdale, FL
$825,000
Orange County, CA
$950,000
Knox County, TN
$700,000
Christian Baldwin
Black Diamond Capital Advisory Firm
Serving Washington County, AR
All businesses go through an exit phase at some point, so as a business owner, you need to be prepared to transition the business to family, employees, or a potential buyer. Whether you’re ready to sell now, or planning for further down the road, Black Diamond has the resources and tools to help you achieve the maximum value for your company. Black Diamond Capital Advisory Firm offers comprehensive buy-side advisory services. We assist clients through every step of the buying process by identifying and executing a growth strategy through the acquisition phase. Our professionals successfully advise and execute searches for clients, resulting in value creation for the acquiring shareholders. www.blackdiamondma.com/ www.linkedin.com/in/christianrbaldwin/ https://www.linkedin.com/company/black-diamond-capital-advisory-firm
Grand Rapids, MI
$1,500,000
Suffolk County, NY
$999,000
Kings County, NY
$3,000,000
Phoenix, AZ
$39,000
Wisconsin
$698,500
Loveland, CO
$216,000
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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