The following data is from 2010 and it was supplied from The Reference Business Guide, published yearly by Business Brokerage Press. This is a good resource for an individual involved in buying, valuing, or selling private businesses. This guide details reasoning as well as alternative methods, other references and tips for pricing and valuing businesses. It also documents the limitations of using rules of thumb. Included here is only a selection of the businesses valued and methods shown in the guide.
| Industry | “Rule of Thumb” Valuation |
|---|---|
| Accounting Firms | 100–125% of yearly revenues |
| Book Stores | 15% of yearly sales & inventory |
| Bars/Taverns | 40% of yearly sales & inventory |
| Auto Dealers (for New Cars) | 0–10% of yearly sales & inventory |
| Coffee Shops (Gourmet) | 40% of yearly sales & inventory |
| Dental Practices | 60–65% of yearly revenues incl. inventory |
| Day Care Centers | 45–50% of yearly sales incl. inventory |
| Engineering Services | 40–45% of yearly revenues |
| Food Shops (Premiumt) | 30% of yearly sales & inventory |
| Dry Cleaners | 70–80% of yearly sales & Inventory |
| Flower Shops | 30–35% of yearly sales & inventory |
| Gas Stations (w/o C-Store) | 15–20% of yearly sales & inventory |
| Gift/Card Shops | 35% of yearly sales incl. inventory |
| Hardware Stores | 45% of yearly sales incl. inventory |
| Landscape Businesses | 45% of yearly sales |
| Grocery Store (Supermarket) | 15% of yearly sales & inventory |
| Insurance Agencies | 125–150% of yearly revenues |
| Liquor Stores | 40–45% of yearlys sales & inventory |
| Law Firms | 90–100% of yearly revenues |
| Restaurants (Full Services) | 30–35% of yearly sales & inventory |
| Restaurants (Limited) | 30–40% of yearly sales & inventory |
| Sports Goods Stores | 25% of yearly sales & inventory |
| Veterinary Practices | 70% of yearly revenues & inventory |
| Travel Agencies | 35–40% of yearly commissions |
