Kern County, CA
$2,250,000
Kern County, CA
$2,250,000
Los Angeles, CA
Palo Alto, CA
Marin County, CA
$1,250,000
Palm Springs, CA
Oakland, CA
Emeryville, CA
$2,900,000
Sonora, CA
$4,250,000
San Francisco, CA
$120,000
Pacifica, CA
Palo Alto, CA
$25,000,000
Vallejo, CA
$4,000,000
Palm Desert, CA
San Pedro, CA
Long Beach, CA
$2,950,000
Long Beach, CA
Ryan Roques
First Choice Business Brokers - Corona/Ontario Office
Serving Riverside County, CA
Established in 1994 and boasting a remarkable track record of facilitating transactions totaling over $12 billion, First Choice Business Brokers stands as a prominent force in the realm of business sales organizations within the United States. Our extensive network of seasoned Business Brokers spans across the nation, affording both Buyers and Sellers unparalleled support and expertise in their endeavors to buy or sell a business. As a proud member of one of the preeminent business broker organizations in the country, we bring to the table specialized knowledge and an arsenal of resources that are integral to ensuring the success of your transaction. Our core competencies encompass a wide spectrum of services, including comprehensive business valuations, skillful negotiation with prospective buyers, proficient buyer financing solutions, the creation of impactful marketing materials, and adept navigation through the intricacies of the Small Business Administration (SBA) loan process.
Glendora, CA
$349,000
Grass Valley, CA
$675,000
Fontana, CA
Los Angeles, CA
$3,350,000
Palm Springs, CA
Santa Barbara, CA
Palm Springs, CA
Moss Landing, CA
Thousand Oaks, CA
Madera, CA
Palm Springs, CA
Alameda County, CA
$299,000
Atwater, CA
$175,000
Big Bear, CA
$995,000
Los Angeles, CA
$2,900,000
Alameda County, CA
$749,000
Oceanside, CA
Palm Springs, CA
$205,000
$19,315
$1,931
$19,315
$19,315
$19,315
$19,315
$150,000
Charles
Action Realty Task Holdings, LLC.
Serving Orange County, CA
$30,000
$5,000
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.
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