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How to Sell Your Home Services Business
Quick Answer
Home services businesses with $1M to $5M in annual EBITDA typically sell for 3x to 8x earnings, with HVAC companies commanding premium multiples of 6x to 10x when they have 40% or more recurring maintenance revenue. Valuations are driven by revenue predictability, founder dependence, and buyer growth potential, with PE firms, family offices, strategic acquirers, and search funds all competing for deals in 2024-2026. The shift from project-based to recurring revenue adds 0.5x to 1.0x to your multiple for every 10% increase.
Valuations, buyer types, deal structures, and what the process looks like — based on real transaction data from 2024–2026.
Updated April 2026 · 18 min read
If you’ve built an HVAC, plumbing, roofing, pest control, electrical, or landscaping company doing $1M or more in annual profit, there are people who want to buy it — and they’ll probably pay more than you think. This guide covers what your business is actually worth based on current transaction data, the five types of buyers competing for home services companies right now, how deals get structured, and what the process looks like from the first phone call to the wire hitting your account.
The home services M&A market has changed dramatically. A decade ago, selling meant finding a local operator willing to pay 2x–3x earnings. Today, PE firms, family offices, strategic acquirers, search funds, and independent operators are all competing for the same businesses. That competition drives better prices, better terms, and more flexibility for founders.
Key Takeaway: Most home services businesses in the $1M–$5M EBITDA range sell for 3x to 8x annual earnings. HVAC with 40%+ maintenance agreements regularly trades at 6x–10x. PE-backed HVAC transactions jumped from 8% of all deals in 2023 to 23% in 2024. Every 10% shift from project-based to recurring revenue adds 0.5x–1.0x to your multiple.
What Home Services Businesses Are Actually Worth
Valuations vary meaningfully by trade. They’re driven by three things: how predictable your revenue is, how dependent the business is on you personally, and how easy it is for a buyer to grow the business after they buy it.
| Industry | EBITDA Multiple | What Drives the Premium |
|---|---|---|
| HVAC | 3x – 10x | Recurring maintenance agreements (40%+ = top) |
| Pest Control | 3.3x – 6x+ | Route density + monthly attrition below 2% |
| Electrical | 3.2x – 8x | Data center, EV, grid modernization |
| Landscaping | 3.6x – 7x | Commercial maintenance contracts |
| Plumbing | 2.4x – 6.5x | Licensed workforce + multi-trade potential |
| Roofing | 2.5x – 7x | Balanced restoration + retail revenue |
Data from GF Data, Peak Business Valuation, BMI Mergers. 2024–2026.
Who the Buyers Actually Are
Not all buyers are the same. Five types are active right now.
PE Platform Builders
Highest multiples (5x–8x+). Equity rollover. Want founder 1–3 years.
Family Offices
Patient capital, no fund timeline. 4x–7x EBITDA. Culture preservation.
Strategic Acquirers
Expanding geography or trade lines. Fast closings. More cash at close.
Search Funds
Individuals buying one business to run. $1M–$3M. Most founder-friendly.
The Five Things That Destroy Value
- Talking to only one buyer. Having 2–3 creates tension that pushes offers up 15–30%.
- Messy financials. Buyers discount for uncertainty.
- Selling when burned out. Buyers pay for momentum.
- Ignoring tax implications. Asset vs. stock sale matters enormously.
- Skipping legal review. Use an M&A attorney.
“We talk to founders who’ve spent 15 or 20 years building something real. They don’t want a cold process — they want to know that whoever buys their business is going to take care of their people.”
— Christoph, Managing Partner, CT Acquisitions
Frequently Asked Questions
How much is my home services business worth?
Most sell for 3x–8x EBITDA. HVAC with 40%+ recurring commands 6x–10x.
How long does it take to sell?
4–9 months. Clean financials speed it up.
Will my employees find out?
Not if managed correctly. All under NDA.
What types of buyers are active?
PE platforms, family offices, strategic acquirers, search funds, and independent operators.
