Business valuation multiples by industry 2022
Current industry multiples 2022: Sales multiples, EBIT multiples and EBITDA multiples by industry 2022 for different countries. Based on NIMBO’s unique dataset of hundreds of observed purchase offers.
Last update of the data: November 1, 2022
On this page: NIMBO asks over a thousand small and medium sized companies each month for purchase offers received and calculates EBIT multiples, EBITDA multiples and revenue multiples from these. Thus, NIMBO has the most up-to-date database of valuation. We publish these multiples every month for individual countries. More information on the valuation multiples and their application can be found below.
Related topics: Use our always up-to-date online company valuation. For detailed information, our Guide to Business Valuation and our Guide to Selling a Business will serve you. Stay up to date by subscribing to our newsletter and follow us on LinkedIn.
Online business valuation, free and without registration, instant evaluation, 13 page report, algorithm based on thousands of valuation
> To the online business valuation <
Page content
Germany
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 3.2 | 5.8 | 5.5 | 1.2 |
| Manufacturing industry | 3.1 | 5.6 | 5.2 | 0.9 |
| Services | 2.7 | 4.8 | 4.5 | 0.9 |
| Gastronomy | 2.6 | 3.7 | 3.5 | 0.8 |
| Trade | 2.2 | 3.7 | 3.5 | 0.6 |
| Craft / Construction | 1.4 | 2.2 | 2.1 | 0.4 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 4.4 | 6.9 | 6.6 | 1.1 |
| Manufacturing industry | 4.2 | 6.6 | 6.2 | 0.9 |
| Services | 3.7 | 5.7 | 5.4 | 0.9 |
| Gastronomy | 3.5 | 4.4 | 4.2 | 0.8 |
| Trade | 3 | 4.4 | 4.2 | 0.6 |
| Craft / Construction | 1.9 | 2.7 | 2.5 | 0.4 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 5.3 | 7.5 | 7 | 0.9 |
| Manufacturing industry | 5.1 | 7.2 | 6.4 | 0.7 |
| Services | 4.5 | 6.2 | 5.8 | 0.7 |
| Gastronomy | 4.2 | 4.8 | 4.5 | 0.6 |
| Trade | 3.7 | 4.8 | 4.5 | 0.5 |
| Craft / Construction | 2.4 | 2.9 | 2.7 | 0.3 |
Development of EBITC multiples over time (6-25 employees)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
France
Valuation multiples for France are in progress and will appear here shortly.
Italy
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 4.7 | 8 | 7.6 | 1.5 |
| Manufacturing industry | 4.5 | 7.7 | 6.9 | 1.2 |
| Services | 4 | 6.6 | 6.2 | 1.2 |
| Gastronomy | 3.7 | 5.1 | 4.8 | 1 |
| Trade | 3.2 | 5.1 | 4.8 | 0.8 |
| Craft / Construction | 2.1 | 3.1 | 2.9 | 0.5 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 6.3 | 9.6 | 9 | 1.4 |
| Manufacturing industry | 6.1 | 9.2 | 8.1 | 1.1 |
| Services | 5.3 | 7.9 | 7.4 | 1.1 |
| Gastronomy | 5 | 6.1 | 5.7 | 1 |
| Trade | 4.4 | 6.1 | 5.7 | 0.8 |
| Craft / Construction | 2.8 | 3.7 | 3.5 | 0.5 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 7.6 | 10.4 | 9.3 | 1.1 |
| Manufacturing industry | 7.4 | 10 | 8.3 | 0.9 |
| Services | 6.5 | 8.6 | 7.6 | 0.9 |
| Gastronomy | 6.1 | 6.6 | 5.9 | 0.8 |
| Trade | 5.3 | 6.6 | 6.1 | 0.6 |
| Craft / Construction | 3.4 | 4 | 3.6 | 0.4 |
Development of EBITC multiples over time (6-25 employees)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
Switzerland
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 4.2 | 7.8 | 7.4 | 1.3 |
| Manufacturing industry | 4.1 | 7.5 | 7 | 1 |
| Services | 3.6 | 6.4 | 6.1 | 1 |
| Gastronomy | 3.4 | 5 | 4.7 | 0.9 |
| Trade | 2.9 | 4.9 | 4.7 | 0.7 |
| Craft / Construction | 1.9 | 3 | 2.8 | 0.4 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 5.7 | 9.3 | 8.8 | 1.2 |
| Manufacturing industry | 5.5 | 8.9 | 8.2 | 1 |
| Services | 4.8 | 7.6 | 7.2 | 1 |
| Gastronomy | 4.6 | 5.9 | 5.6 | 0.8 |
| Trade | 4 | 5.9 | 5.6 | 0.7 |
| Craft / Construction | 2.5 | 3.6 | 3.4 | 0.4 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 6.9 | 10.1 | 9.4 | 1 |
| Manufacturing industry | 6.7 | 9.7 | 8.5 | 0.8 |
| Services | 5.9 | 8.3 | 7.7 | 0.8 |
| Gastronomy | 5.5 | 6.4 | 5.9 | 0.7 |
| Trade | 4.8 | 6.4 | 6 | 0.5 |
| Craft / Construction | 3.1 | 3.9 | 3.6 | 0.3 |
DEVELOPMENT OF EBITC MULTIPLES OVER TIME (6-25 EMPLOYEES)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
Austria
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 3.8 | 6 | 5.7 | 1.3 |
| Manufacturing industry | 3.7 | 5.8 | 5.4 | 1 |
| Services | 3.3 | 4.9 | 4.7 | 1 |
| Gastronomy | 3.1 | 3.8 | 3.6 | 0.9 |
| Trade | 2.7 | 3.8 | 3.6 | 0.7 |
| Craft / Construction | 1.7 | 2.3 | 2.2 | 0.4 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 5.2 | 7.1 | 6.8 | 1.2 |
| Manufacturing industry | 5 | 6.9 | 6.5 | 1 |
| Services | 4.4 | 5.9 | 5.6 | 1 |
| Gastronomy | 4.2 | 4.6 | 4.3 | 0.8 |
| Trade | 3.6 | 4.5 | 4.3 | 0.7 |
| Craft / Construction | 2.3 | 2.7 | 2.6 | 0.4 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 6.3 | 7.8 | 7.3 | 1 |
| Manufacturing industry | 6.1 | 7.5 | 6.7 | 0.8 |
| Services | 5.3 | 6.4 | 6 | 0.8 |
| Gastronomy | 5 | 5 | 4.7 | 0.7 |
| Trade | 4.4 | 4.9 | 4.7 | 0.5 |
| Craft / Construction | 2.8 | 3 | 2.8 | 0.3 |
Development of EBITC multiples over time (6-25 employees)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
United States
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 3.5 | 6 | 5.7 | 1.3 |
| Manufacturing industry | 3.4 | 5.8 | 5.3 | 1 |
| Services | 2.9 | 4.9 | 4.7 | 1 |
| Gastronomy | 2.8 | 3.8 | 3.6 | 0.9 |
| Trade | 2.4 | 3.8 | 3.6 | 0.7 |
| Craft / Construction | 1.5 | 2.3 | 2.2 | 0.4 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 4.7 | 7.2 | 6.8 | 1.2 |
| Manufacturing industry | 4.5 | 6.9 | 6.2 | 0.9 |
| Services | 4 | 5.9 | 5.6 | 1 |
| Gastronomy | 3.7 | 4.6 | 4.3 | 0.8 |
| Trade | 3.2 | 4.5 | 4.3 | 0.7 |
| Craft / Construction | 2.1 | 2.7 | 2.6 | 0.4 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 5.6 | 7.8 | 7.1 | 1 |
| Manufacturing industry | 5.5 | 7.5 | 6.4 | 0.8 |
| Services | 4.8 | 6.4 | 5.8 | 0.8 |
| Gastronomy | 4.5 | 5 | 4.5 | 0.7 |
| Trade | 3.9 | 4.9 | 4.6 | 0.5 |
| Craft / Construction | 2.5 | 3 | 2.8 | 0.3 |
Development of EBITC multiples over time (6-25 employees)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
United Kingdom
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 2.5 | 4.9 | 4.6 | 1 |
| Manufacturing industry | 2.4 | 4.7 | 4.4 | 0.8 |
| Services | 2.1 | 4 | 3.8 | 0.8 |
| Gastronomy | 2 | 3.1 | 3 | 0.7 |
| Trade | 1.7 | 3.1 | 2.9 | 0.5 |
| Craft / Construction | 1.1 | 1.9 | 1.8 | 0.3 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 3.3 | 5.8 | 5.5 | 0.9 |
| Manufacturing industry | 3.2 | 5.6 | 5.2 | 0.7 |
| Services | 2.8 | 4.8 | 4.6 | 0.7 |
| Gastronomy | 2.7 | 3.7 | 3.5 | 0.6 |
| Trade | 2.3 | 3.7 | 3.5 | 0.5 |
| Craft / Construction | 1.5 | 2.2 | 2.1 | 0.3 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 4 | 6.3 | 6 | 0.7 |
| Manufacturing industry | 3.9 | 6.1 | 5.4 | 0.6 |
| Services | 3.4 | 5.2 | 4.9 | 0.6 |
| Gastronomy | 3.2 | 4 | 3.8 | 0.5 |
| Trade | 2.8 | 4 | 3.8 | 0.4 |
| Craft / Construction | 1.8 | 2.4 | 2.3 | 0.2 |
Development of EBITC multiples over time (6-25 employees)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
Canada
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 3.5 | 6 | 5.7 | 1.3 |
| Manufacturing industry | 3.4 | 5.8 | 5.3 | 1 |
| Services | 2.9 | 4.9 | 4.7 | 1 |
| Gastronomy | 2.8 | 3.8 | 3.6 | 0.9 |
| Trade | 2.4 | 3.8 | 3.6 | 0.7 |
| Craft / Construction | 1.5 | 2.3 | 2.2 | 0.4 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 4.7 | 7.2 | 6.8 | 1.2 |
| Manufacturing industry | 4.5 | 6.9 | 6.2 | 0.9 |
| Services | 4 | 5.9 | 5.6 | 1 |
| Gastronomy | 3.7 | 4.6 | 4.3 | 0.8 |
| Trade | 3.2 | 4.5 | 4.3 | 0.7 |
| Craft / Construction | 2.1 | 2.7 | 2.6 | 0.4 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 5.6 | 7.8 | 7.1 | 1 |
| Manufacturing industry | 5.5 | 7.5 | 6.4 | 0.8 |
| Services | 4.8 | 6.4 | 5.8 | 0.8 |
| Gastronomy | 4.5 | 5 | 4.5 | 0.7 |
| Trade | 3.9 | 4.9 | 4.6 | 0.5 |
| Craft / Construction | 2.5 | 3 | 2.8 | 0.3 |
Development of EBITC multiples over time (6-25 employees)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
South Africa
2-5 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 3.7 | 7 | 6.7 | 1.4 |
| Manufacturing industry | 3.6 | 6.8 | 6.1 | 1.1 |
| Services | 3.1 | 5.8 | 5.5 | 1.1 |
| Gastronomy | 2.9 | 4.5 | 4.2 | 1 |
| Trade | 2.5 | 4.5 | 4.2 | 0.8 |
| Craft / Construction | 1.6 | 2.7 | 2.6 | 0.5 |
6-25 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 5 | 8.4 | 7.9 | 1.3 |
| Manufacturing industry | 4.8 | 8.1 | 7.1 | 1 |
| Services | 4.2 | 6.9 | 6.4 | 1 |
| Gastronomy | 4 | 5.4 | 5 | 0.9 |
| Trade | 3.4 | 5.3 | 5 | 0.7 |
| Craft / Construction | 2.2 | 3.2 | 3 | 0.4 |
26-99 employees
| Industry | EBITC Multiple | EBIT Multiple | EBITDA Multiple | Sales multiples |
|---|---|---|---|---|
| Software / IT Services | 6 | 9.1 | 8.1 | 1.1 |
| Manufacturing industry | 5.8 | 8.8 | 7.3 | 0.8 |
| Services | 5.1 | 7.5 | 6.7 | 0.8 |
| Gastronomy | 4.8 | 5.8 | 5.1 | 0.7 |
| Trade | 4.2 | 5.8 | 5.3 | 0.6 |
| Craft / Construction | 2.7 | 3.5 | 3.2 | 0.4 |
DEVELOPMENT OF EBITC MULTIPLES OVER TIME (6-25 EMPLOYEES)
⬤ IT / Software ⬤ Producing industry ⬤ Services. ⬤ Gastronomy ⬤ Trade ⬤ Craft & Construction
Explanation: Valuation using multiples
The valuation of companies by means of so-called multiples is widely used in practice. The method allows the comparison with companies that have already received real purchase offers. One considers the observed purchase prices as a multiple of a certain financial ratio of the respective sold companies and can then apply this multiple to the company to be valued. Experience has shown that the observed multiples differ significantly depending on the industry, company size and country. The EBITC multiple is the preferred multiple of NIMBO. Statistical evaluations show that it is particularly well suited for the valuation of small and medium-sized companies. In addition, we also report the EBIT multiple, EBITDA multiple and revenue multiple , which are popular in practice.
EBIT Multiple = Purchase price ⁄ EBIT = Purchase price ⁄ Earnings before interest and taxes
EBITDA Multiple = Purchase price ⁄ EBITDA = Purchase price ⁄ Earnings before interest, taxes, depreciation and amortization
EBITC Multiple = Purchase price ⁄ EBITC = Purchase price ⁄ Earnings before interest, taxes and managing director’s salary
Sales multiple = Purchase price ⁄ EBITC = Purchase price ⁄ Sales
Company valuation Multiple method calculation example
A company with a turnover of 3,000,000 and an EBIT (earnings before interest and taxes) of 400,000 and depreciation of 40,000 is to be valued using the multiple method. The CEO is currently paying himself a salary of 100,000. For the country, industry and company size, average EBIT multiples of 6, EBITDA multiples of 5.5, EBITC multiples of 4 and sales multiples of 0.9 are currently observed.
Valuation with EBIT multiple: EBIT x EBIT multiple = 400,000 x 6 = 2,400,000
Valuation with EBITDA multiple: EBITDA x EBITDA multiple = (400,000 + 40,000) x 5.5 = 2,420,000
Valuation with EBITC multiple: EBITC x EBITC multiple = (400,000 + 100,000) x 5 = 2,500,000
Valuation with sales multiple: Sales x sales multiple = 3,000,000 x 0.9 = 2,700,000
Financial liabilities are deducted when calculating the value of equity.
As the example shows, different valuation multiples can lead to different results. There is no generally applicable rule as to which multiple is used when. You can also calculate the average of several multiples. Multiples related to profit are considered by many to be more plausible. NIMBO bases its valuation on the EBITC multiple, as statistical analysis shows that this multiple is best for valuing SMEs.
More detailed information about the Multiple Method and other common valuation methods.
Frequently asked questions
The application of the EBIT, EBITC, EBITDA and sales multiple can lead to significantly different results. How can this be?
The results of the individual multiples differ the more the cost structure deviates from the average cost structure of the comparison group. For example, if the company has proportionately higher depreciation and amortization than the peer group, a valuation using the EBITDA multiple will result in a higher valuation than using the EBIT multiple.
Which multiple should I use to valuation my company?
The EBIT multiple has the advantage over the EBITDA multiple that it smoothes out past investments through depreciation and amortization. If similarly high investments have to be made in the future, the EBIT multiple is a good basis for the valuation.
The EBITDA multiple is a good basis if no significant investments are to be made in the future. It is also not affected by accounting assumptions regarding depreciation and amortization.
Compared to the EBIT multiple, the EBITC multiple has the advantage that no assumptions have to be made about the market-based salary of a managing director. In the case of EBIT, the managing director’s salary must be adjusted. In EBITC, the profit and the owner’s salary are considered as total. Likewise, EBITC allows a valuation companies that do not make a profit but can pay a salary to the CEO. Under the EBIT multiple method, such companies would be valued at zero.
If you are not sure which multiple to use, it is recommended to average the methods.
How do the NIMBO multiples for Germany differ from the DUB multiples?
The DUB multiples are compiled by individual consultants. They reflect the experience of these consultants from company sales. The NIMBO multiples map what kind of purchase offers the company owners have received. Due to the standardized questionnaire of NIMBO and the large amount of data, the multiples of NIMBO can be adjusted from the influence of a multitude of industry-independent factors and the current development of the multiples can be observed more reliably.
