How to Value a Home Services Business: The Complete Guide
SDE multiples, EBITDA multiples, revenue multiples — which method is right for your business? A comprehensive guide to home service business valuation.
Read Article →Junk removal businesses sell for 2.0x–3.5x SDE. Revenue quality, truck count, and brand reputation drive valuation in this fragmented market.
Jason Taken
HedgeStone Business Advisors
Junk removal is a high-growth, fragmented market where independent operators compete with national brands like 1-800-GOT-JUNK and College Hunks Hauling Junk. Valuations are lower than recurring-revenue trades but the businesses can be highly profitable with the right model.
Single-truck owner-operated: 1.5x–2.5x SDE. Heavy key-man risk, all revenue depends on owner. Multi-truck operation (owner off the trucks): 2.5x–3.5x SDE. Business can scale and run without owner involvement. B2B-focused junk removal (property managers, estate sales, construction): 2.5x–3.5x SDE. Commercial accounts provide more predictable volume than pure consumer marketing.
Key value drivers: Google Business Profile with 200+ reviews (drives inbound calls), established relationships with real estate agents and property managers (repeat B2B volume), multi-truck operation with documented systems, owner fully removed from daily operations, and clean financial records showing consistent year-over-year revenue growth.
1-800-GOT-JUNK and similar franchise operators sell differently than independents. Franchise resales are constrained by franchisee transfer approval and royalty structures that buyers price in. Independent operators have more flexibility in sale structure. Valuations for both use the same SDE multiple framework, but franchise buyers also consider the franchisor relationship.
SDE multiples, EBITDA multiples, revenue multiples — which method is right for your business? A comprehensive guide to home service business valuation.
Read Article →If your business can't run without you, buyers will discount heavily. Here's the 90-day playbook for reducing key-man risk before going to market.
Read Article →SBA-eligible businesses sell for 10-15% more because of expanded buyer demand. Here's how SBA financing works, what makes a business SBA-eligible, and what it means for your sale price.
Read Article →No contact forms. No obligation. Direct access to Jason Taken, Business Broker.