San Diego, CA
$100,000

San Diego, CA
$100,000

Shasta County, CA
$150,000
Martinez, CA
$170,000

San Francisco, CA
$95,000
Los Angeles County, CA
$259,000
Davis, CA
$160,000
San Francisco, CA
$119,000
Mendocino County, CA
$348,999
Fremont, CA
$348,000
San Gabriel, CA
$198,000
Newark, CA
$150,000
Pleasanton, CA
$150,000
San Rafael, CA
$75,000
Fairfield, CA
$99,000
San Francisco, CA
$120,000
San Francisco, CA
$185,000
RAVI JAGTIANI
Ravi Jagtiani / Jagtiani Group with Intero Commercial
Serving San Mateo County, CA
In the Real Estate Industry since many years, having sold many types of businesses and being the top agent in the Child Care business in California.
Redwood City, CA
$450,000
Berkeley, CA
$120,000
Santa Fe Springs, CA
$180,000
Berkeley, CA
$160,000
San Jose, CA
$175,000
Stockton, CA
$65,000
Eagle Rock, CA
$300,000
Fullerton, CA
$95,000
Simi Valley, CA
$179,000
Oxnard, CA
$99,000
Buena Park, CA
$295,000
Petaluma, CA
$129,000
California
$850,000
Costa Mesa, CA
$275,000
Long Beach, CA
$175,000
Palm Desert, CA
$439,000
Los Angeles County, CA
$300,000
Milpitas, CA
$150,000
Los Angeles, CA
$95,000
Corona, CA
$65,000
Los Angeles County, CA
$199,000
San Francisco, CA
$175,000
Van Nuys, CA
$169,000
Irvine, CA
$299,000
Santa Cruz, CA
$49,000
Monrovia, CA
$400,000
Los Angeles County, CA
$949,000
Los Angeles County, CA
$120,000
Gregory DiCristina
Chase Group Business Brokers, Inc
Serving Riverside County, CA
Started in 2004 and focused exclusively on business sales since 2006 Chase Group Business Brokers, Inc. has offices in two Southern California counties to best serve business owner and buyer needs from San Diego to Los Angeles and in between.
Oceanside, CA
$75,000
Los Angeles County, CA
$1,345,000
Hermosa Beach, CA
$325,000
Watsonville, CA
$149,000
Orange County, CA
$199,000
Monterey County, CA
$249,000
Food and restaurant businesses are among the most common businesses bought and sold on BizBuySell. Whether you are a buyer or a seller, it is helpful to have some context on the local market. To provide that context, we have analyzed restaurant for sale listings in California and aggregated financial data to help you compare and evaluate individual restaurant businesses.
Market Snapshot
|
Number of Businesses Analyzed |
1,825 |
|
Median Asking Price |
$282,000 |
|
Median Reported Revenue |
$660,000 |
|
Median Reported Earnings |
$120,000 |
|
Financials based on businesses that listed an asking price, annual revenue, and seller's discretionary earnings. |
|
California Restaurant Valuation Multiples
|
Range |
Revenue |
Earnings (SDE) |
|
Lower Quartile |
0.29 |
1.91 |
|
Median |
0.42 |
2.50 |
|
Upper Quartile |
0.60 |
3.33 |
|
Revenue and earnings multiples based on reported revenue, seller's discretionary earnings, and asking price. |
||
Read the Report:
Restaurant Business Valuation Multiples and Financial Benchmarks
FAQs
How much does it cost to buy a restaurant in California?
The median asking price for restaurants in California is $282,000. However, prices can range significantly higher or lower depending on location, size, type, and the financial health of the business.
How much do restaurant owners earn?
The median reported discretionary earnings for restaurant businesses listed for sale in California is $120,000. Earnings can vary greatly depending on the type of restaurant, location, management efficiency, and market demand.
How are restaurants in California valued?
Most business owners (and buyers) will start by applying earnings and revenue multiples to the businesses reported financials. This way buyers and sellers can gauge the value of a restaurant business relative to its peers in the market.
Based on our most recent analysis of California restaurant business listings, revenue multiples range from 0.29 to 0.60, with the median at 0.42. Earnings multiples range from 1.91 to 3.33, with the median at 2.50. This means restaurants in California are valued, on average, around 0.42 times annual revenue, and/or 2.50 times annual owner earnings.
On average, businesses sell for about 80-90% of asking price, so valuation multiples based on active listings tend to be higher than closed sale multiples.
More for Business Buyers:
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