Fashion & Apparel Brand — 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
4×
Max
6×
Revenue Model
Transactional
Capital Intensity
Medium
A typical multiple of 4× EBITDA reflects mid-market transactions in the $1–$50M revenue range.
Overview
Fashion and apparel brands typically trade at 2.5×–6× EBITDA. Strong brand identity, D2C channel with owned customer data, and wholesale distribution through major retailers support the upper end. Seasonal collections and trend dependency require close inventory management. Supply chain concentration, return rates, and social media trend cycles are the primary valuation risks.
Key Value Drivers
- Strong brand identity and following
- D2C channel with owned customer data
- Wholesale distribution through national retailers
- Sustainable and ethical positioning
- Licensing and brand extension potential
Key Risks
- Trend dependency and fashion cycle risk
- Supply chain concentration and lead times
- High return rates and markdown risk
- Retail partner concentration
- Social media influencer dependency
Real-World Transaction
Nasty Gal → WSG Brands (White Space Group New York)
2026 · Fashion & Apparel Brand
These transactions involved companies substantially larger than the $1–$50M SME benchmark and are shown for context, not direct comparison.
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.