Beauty and personal care businesses cater to diverse market segments with their products and services. The beauty and personal care industry includes many different facets: hair care, spa services, and sales of makeup and grooming products. Entrepreneurs may also be able to find local businesses for sale, such as nail salons, cosmetics retailers, tanning salons, and massage businesses. The diversity of the beauty and personal care industry may offer several opportunities for success. The U.S. cosmetics industry alone brings in over $62 billion in revenue, with skincare products making up over one-third of the sales. Some beauty and personal care businesses for sale may require owners to have expertise or training in certain areas. For example, it may be good for a salon owner to be a trained cosmetologist. Other types of business, such as cosmetics retailers or wholesale distributors, may simply require entrepreneurs to have strong business instincts.
| Market Overview | Listings for Sale (Median) |
|---|
| Number of Businesses Analyzed | 120 |
| Asking Price | $217,000 |
| Reported Revenue | $416,576 |
| Reported Seller's Discretionary Earnings | $120,000 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings.
Asking Price
| Lower Quartile | Median | Upper Quartile |
|---|
| $118,750 | $217,000 | $699,250 |
Market Financial Highlights
The financial data presented here is an aggregation of reported revenue and earnings of Beauty and Personal Care Businesses for sale in California.
| Bound | Revenue | Seller’s Discretionary Earnings |
|---|
| Lower Quartile | $163,250 | $66,246 |
| Median | $416,576 | $120,000 |
| Upper Quartile | $945,500 | $250,000 |
Valuation Multiples
The valuation multiples listed below are derived from asking price, revenue, and seller's discretionary earnings of Beauty and Personal Care Businesses listed for sale in California.
| Bound | Revenue Multiple | Earnings Multiple |
|---|
| Lower Quartile | 0.48 | 1.54 |
| Median | 0.68 | 2.32 |
| Upper Quartile | 0.99 | 3.31 |
FAQ's
How much does it cost to buy a Beauty and Personal Care Business in California?
The median asking price for an established Beauty and Personal Care Business in California is $217,000, though prices range from under $118,750 to well over $699,250.
How much do Beauty and Personal Care Businesses owners in California earn?
The median reported revenue of Beauty and Personal Care Businesses in California is $416,576 and owners earn a median of $120,000, which includes the owners salary and any other financial benefits they receive.
How do I value a Beauty and Personal Care Business?
Valuing a business is a complex process, but buyers and sellers often turn to the local market to understand how businesses are priced. Based on our most recent analysis of Beauty and Personal Care Businesses in California, revenue multiples range from 0.48 to 0.99, with a median of 0.68. Earning multiples range from 1.54 to 3.31, with the median at 2.32. This means the typical Beauty and Personal Care Business in California may ask for around 0.68 times its annual revenue, and 2.32 times its annual owner earnings.
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