Catering Equipment Supplier — 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×
Typical
3×
Max
4.5×
Revenue Model
Mixed
Capital Intensity
Medium
A typical multiple of 3× EBITDA reflects mid-market transactions in the $1–$50M revenue range.
Overview
Catering equipment supply businesses typically trade at 2×–4.5× EBITDA. Service and maintenance contract income, kitchen design and installation capability, and approved supplier status with major hospitality operators support the upper end. Low-margin equipment sales, working capital tied in stock, and hospitality sector cyclicality are the primary risk factors.
Key Value Drivers
- Service and maintenance contract income
- Kitchen design and installation capability
- Approved supplier with major hospitality operators
- Exclusive distribution agreements
- Aftermarket parts and consumables revenue
Key Risks
- Low-margin equipment sales
- Working capital in stock financing
- Hospitality sector cyclicality
- High delivery and installation logistics cost
- OEM warranty and liability exposure
Related Industries
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.