How Much Is Your Salon/Spa Worth?

A question on the top of every business owner’s mind is, “how much is my business worth?”

With season in the rearview mirror, I thought this would be a good time of year to update you on salon and spa sales throughout Florida and give you some data regarding sales and pricing. Here are some numbers for you to ponder:

26 = the number of salons/spas sold in the first half of 2011 by Business Broker of Florida Association members.

$125,696 = the average sale price of the sold salons/spas.

$74,858 = the average owner benefit generated in each sold salon/spa.

1.68 = the owner benefit multiple (sales price divided by owner benefit) of the 26 sold salons/spas.

1.69 = the historical owner benefit multiple of all salons/spas ever sold in the state of Florida.

88% = the average percentage down of the 26 sold salons/spas.

What does this mean?

Salons and spas are in high demand. And, in spite of a more conservative and cash strapped buying clientele, they are still paying at or near historical multiples with a percent down not realized in many other industries. If you have been contemplating selling your salon/spa, now is a great time! Please contact me for a no obligation discussion.

For additional information regarding Florida business sales, acquisitions and valuations, please contact Eric J. Gall at eric@buysellswflbiz.com or 800-599-0503. Also, visit our Florida Business Exchange website at www.fbxbrokers.com and my personal website at www.buysellflbiz.com.