Los Angeles County, CA
$1,350,000

Los Angeles County, CA
$1,350,000

Pleasanton, CA
$388,000
North Hills, CA
$90,000

Riverside, CA
$190,000
Santa Barbara County, CA
$559,356
Alameda County, CA
$275,000
San Luis Obispo County, CA
$899,000
Chico, CA
$300,000
Sonoma County, CA
$750,000
Walnut Creek, CA
$179,000
San Joaquin County, CA
$264,000
Contra Costa County, CA
$69,000
Cupertino, CA
$278,000
$280,000
Santa Monica, CA
San Francisco, CA
$160,000
Coalinga, CA
$199,000
Mac Loganda
Maclons Capital Business Brokers
Serving Orange County, CA
Over 25 years in Business providing traditional client services
Palo Alto, CA
$125,000
Los Angeles, CA
$1,200,000
San Jose, CA
$98,000
Mountain View, CA
$888,000
San Diego, CA
$950,000
Nevada County, CA
$425,000
Half Moon Bay, CA
$279,000
Laguna Niguel, CA
$149,000
$275,000
San Diego, CA
Glendale, CA
$219,000
Solano County, CA
$349,000
Paramount, CA
$175,000
Suisun City, CA
$60,000
Ventura, CA
$35,000
Carson, CA
$345,000
Corona Del Mar, CA
$475,000
Los Angeles County, CA
$279,000
Panorama City, CA
$279,000
Murphys, CA
$685,000
$199,000
Monterey County, CA
Los Angeles, CA
$128,000
Los Angeles County, CA
$125,000
Contra Costa County, CA
$99,000
Sacramento, CA
$74,900
Orange County, CA
$279,000
San Francisco County, CA
$195,000
Sacramento, CA
$68,000
Woodland Hills, CA
$200,000
Larry G. Featherston: Broker
Select Commercial Group
Serving Sacramento County, CA
Nevada and California, Commercial and Business investment opportunities represent a complex and competitive component of the business sales and acquisition marketplace. It is a specialty that demands professional experience and extensive knowledge. Designated CIN members must meet the high service standards of the CENTURY 21 System and are required to complete an extensive Certified Commercial Investment Training Program.
San Clemente, CA
$249,000
Culver City, CA
$550,000
$595,000
Fountain Valley, CA
Los Angeles, CA
$55,000
California
$470,000
San Diego County, CA
$175,000
Los Angeles County, CA
$299,000
San Diego, CA
$128,000
Roseville, CA
$225,000
Alameda County, CA
$850,000
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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