Sacramento, CA
$180,000
Sacramento, CA
$180,000
Hayward, CA
$150,000
San Francisco, CA
$128,000
San Francisco, CA
$175,000
San Francisco, CA
$138,000
Oakland, CA
$250,000
Alameda, CA
$350,000
Imperial Beach, CA
$69,999
Laguna Beach, CA
$695,000
Los Angeles, CA
$350,000
South El Monte, CA
$375,000
Dublin, CA
$150,000
Orange County, CA
$410,000
San Francisco, CA
$108,000
Vallejo, CA
$128,000
Daly City, CA
$220,000
Johnathan Choe
TransWorld
Serving Los Angeles County, CA
San Francisco, CA
$148,000
Alameda, CA
$100,000
Pleasanton, CA
$98,000
Compton, CA
$168,000
Lancaster, CA
$350,000
San Francisco, CA
$150,000
Dublin, CA
$300,000
Woodland Hills, CA
$69,000
Tuolumne County, CA
$175,000
Contra Costa County, CA
$1,800,000
Sacramento County, CA
$750,000
San Francisco, CA
$299,000
Alameda County, CA
$225,000
Tarzana, CA
$500,000
Saratoga, CA
$288,000
Orange County, CA
$780,000
La Verne, CA
$120,000
Solano County, CA
$79,000
Redondo Beach, CA
$139,000
Los Alamitos, CA
$425,000
Oakland, CA
$149,000
La Habra, CA
$85,000
Irvine, CA
$195,000
San Bernardino County, CA
$995,000
San Diego, CA
$300,000
Long Beach, CA
$395,000
Pleasanton, CA
$65,000
Fresno County, CA
$4,250,000
Ian Lashley
TLG Business Broker
Serving Los Angeles County, CA
Are you looking to sell your business? Are you considering buying a business? You may currently own a business and would like to acquire another one within the same industry. I can assist you with all of this in an effective, friendly and honest way. My clients appreciate my dedicated work ethic and hands on mediation skills.
Long Beach, CA
$995,000
Sylmar, CA
$265,000
Riverside County, CA
$225,000
Fresno County, CA
$1,259,000
Orange County, CA
$900,000
Long Beach, CA
$159,000
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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