Simi Valley, CA
$120,000
Simi Valley, CA
$120,000
Los Angeles, CA
$70,000
Sonoma County, CA
$129,000
Los Angeles, CA
San Diego, CA
$69,000
Yorba Linda, CA
$70,000
Alameda County, CA
$150,000
Los Angeles, CA
$95,000
Los Angeles, CA
$115,000
Murrieta, CA
$275,000
Lakewood, CA
$80,000
Placer County, CA
$90,000
Los Angeles, CA
$20,000
San Francisco, CA
$69,000
Los Angeles, CA
$76,700
Santa Monica, CA
$205,000
Wasim Rahman
TNW BUSINESS BROKERS
Serving San Francisco County, CA
TNW Business Brokerage has been in the business since 2003 and committed to work diligently with every client as an advocate provide a comprehensive consultative approach to each and every business transaction.
Santa Ana, CA
$80,000
Newark, CA
$120,000
San Francisco, CA
$50,000
Lomita, CA
$789,000
Anaheim, CA
$2,950,000
Marin County, CA
$1,250,000
Vallejo, CA
$4,000,000
Moss Landing, CA
$30,000
$5,000
The coffee shop industry has experienced significant growth fueled by increasing urbanization, a rising middle class, and a growing appreciation for specialty coffee. There is a noticeable shift towards specialty coffee shops that offer unique brews, single-origin beans, and a focus on sustainability. Additionally, customers increasingly seek out coffee shops that provide a comfortable and inviting atmosphere, often using them as secondary workspaces.
Technology is playing a crucial role in shaping the coffee shop industry. From mobile ordering and payment systems to personalized marketing and loyalty programs, tech integration is enhancing customer experience and operational efficiency.
Anyone looking to buy or sell a coffee shop or café in California must understand how these businesses are expected to perform financially, and how they are valued in the local business for sale market. To that end, we have aggregated coffee shop and café for sale listing data from California to surface typical revenue and earnings, as well as implied valuation multiples.
Market Overview
Number of Businesses Analyzed |
112 |
Median Asking Price |
$244,500 |
Median Reported Revenue |
$420,000 |
Median Reported Earnings |
$100,000 |
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
California Coffee Shop and Cafe Business Valuation Multiples
Range |
Revenue |
Earnings (SDE) |
Lower Quartile |
0.37 |
1.69 |
Median |
0.54 |
2.75 |
Upper Quartile |
0.75 |
3.90 |
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
Read the Report:
Coffee Shop & Cafe Business Valuation Multiples and Financial Benchmarks
FAQs
How much does it cost to buy a coffee shop in California?
Prices vary depending on the size of the business listed, but the median asking price for an established coffee shop business in California is $244,500.
How much do coffee shop business owners earn?
California coffee shop and cafe owners report median annual sales of $420,000 and annual owner earnings of $100,000. These figures are based on businesses that have listed their annual revenue and seller's discretionary earnings.
How do I value a coffee shop business?
Valuing a coffee shop or café involves considering several factors, including annual sales, profit, growth (or decline) trends, and demographic trends of the local market. 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 among coffee shops listed for sale in California range from 0.37 to 0.75, with the median at 0.54. Earnings multiples range from 1.69 to 3.90, with the median at 2.75. These values suggest the average coffee shop business in California may sell for around 0.54 times its annual revenue, and 2.75 times its annual owner’s earnings.
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