Mid Multiple

Bookkeeping Services Business — Business Valuation Multiple

EBITDA Valuation Guide · Small & Mid-Sized Businesses

Actual EBITDA multiples can vary materially based on EBITDA size, growth, recurring revenue, margins, customer concentration, owner dependence, geography and other company-specific factors.

Min

2.5×

Typical

3.5×

Max

4.5×

Revenue Model

Recurring

Capital Intensity

Low

2.5×Typical EBITDA Range4.5×

A typical multiple of 3.5× EBITDA reflects mid-market transactions in the $1–$50M revenue range.

Overview

Bookkeeping businesses typically trade at 2.5×–4.5× EBITDA. A recurring monthly fee model, cloud accounting platform expertise, and scalable remote delivery are the primary value drivers. SME client bases with low churn and upsell potential into payroll and tax work strengthen the proposition. AI and automation disruption and commoditisation through low-cost software represent growing risks.

Key Value Drivers

  • Recurring monthly fee model
  • Cloud accounting platform expertise
  • Scalable remote delivery
  • SME client base with low churn
  • Upsell into payroll and tax

Key Risks

  • AI and automation disruption
  • Low barriers to entry
  • Price competition and commoditisation
  • Regulatory compliance costs
  • Client churn on price

Disclaimer: All multiples are indicative estimates only and are not formal valuations or investment advice. They should not be relied upon for financial decision-making without independent professional advice.