San Bernardino County, CA
$525,000
San Bernardino County, CA
$525,000
Irvine, CA
$280,000
Sacramento County, CA
$398,000
Laguna Beach, CA
$1,599,000
Santa Barbara County, CA
$350,000
Burlingame, CA
$450,000
Rohnert Park, CA
$85,000
Los Angeles County, CA
$3,400,000
California
Cash Flow: $670,000
Temecula, CA
$195,000
Corona, CA
$89,000
Moorpark, CA
$135,000
San Jose, CA
$225,000
Orange County, CA
$75,000
Vallejo, CA
$125,000
San Diego, CA
$89,999
Mark Smith
Summit Business Advisors
Serving Nevada County, CA
Established in 2008, Summit Business Advisors serves the High Sierra Business Communities from Lake Tahoe to Lake Almanor, CA. Mark Smith, Broker and Founder has over 40 years of experience working with businesses throughout the Western US. and is a 15 year member of the International Business and California Business Broker Associations. If you are an owner looking to exit and sell your business or a buyer looking to purchase a business, Summit has the track record and experience to assist you. We specialize in businesses in the Retail, Wholesale, Distribution, Manufacturing or Transportation sectors with sales between $1,000,000 to $20,000,000 and EBITDA of $100,000 or greater.
North Hollywood, CA
$99,000
Santa Barbara County, CA
$135,000
Los Angeles, CA
$650,000
Los Angeles County, CA
$550,000
Pacoima, CA
$129,000
Sacramento, CA
$180,000
Alamo, CA
$118,000
California
$1,570,000
Santa Clara, CA
$160,000
California
$6,000,000
San Diego, CA
$265,000
San Leandro, CA
$100,000
Palm Springs, CA
$320,000
Concord, CA
$200,000
Fremont, CA
$250,000
Los Angeles, CA
$110,000
Palo Alto, CA
$186,000
Los Angeles, CA
$200,000
Los Angeles, CA
$125,000
San Diego, CA
$295,000
Ventura, CA
$580,000
San Mateo County, CA
$750,000
West Covina, CA
$125,000
Pasadena, CA
$79,000
California
$150,000
San Diego County, CA
$1,200,000
Orange County, CA
$175,000
Diamond Bar, CA
$139,000
Gerald Bendix
gBx Brokerage
Serving Shasta County, CA
• Experience in the acquisition and sale of small and mid-sized firms. • Owned, operated, and grew a manufacturing company with $37MM annual wholesale and retail revenues and multi-million dollar Federal contracts. • Detailed, hands-on, day-to-day knowledge of the multitude of areas involved in running a small to moderate-sized company including: Leadership, Finance, Production, Marketing, Sales, Contracting, and Human Resources. California and Oregon Real Estate Broker Licenses. • Education: BA, Willamette University, Major: Economics; Masters in Science, The Sloan Program, Graduate School of Business, Stanford University. • Helping Business Owners Value and Sell Their Companies. • Assisting Business Purchasers Find the Right Company to Buy.
Venice, CA
$600,000
Los Angeles County, CA
$128,000
Indio, CA
$4,600,000
Sacramento, CA
$99,000
Echo Park, CA
$350,000
San Jose, CA
$200,000
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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