THE SHORT ANSWER
Establish supported annual earnings and owner replacement before choosing relevant comparisons. BizBuySell’s national 2021–2025 landscaping/yard-service sold sample reports a 2.30x median owner-discretionary earnings multiple. That historical observation is not EBITDA, a current appraisal or a guaranteed price for recurring maintenance. Define included assets and working-capital delivery separately.
Use the historical sold table on its own basis
BizBuySell reports national landscaping and yard-service transactions, primarily local lawn, maintenance and related residential/commercial work.
(BizBuySell: landscaping and yard-service sold-business benchmarks)| 2021–2025 reported sold owner-earnings statistic | Multiple |
|---|---|
| Lower quartile | 1.70x |
| Median | 2.30x |
| Mean | 2.46x |
| Upper quartile | 3.01x |
Compare service mix, owner duties, accounting period, financial definitions and included assets using relevant actual sales. Do not assign the upper quartile automatically for recurring work or transplant a platform EBITDA claim into an owner-operated business.
Reconcile annual earnings and owner replacement
SEC adjusted-measure guidance is an issuer-reporting presentation reference.
(SEC: non-GAAP financial measure interpretations)Have the accountant define the starting period and measure, then trace each adjustment to expenses actually deducted and their future purpose. Draws, principal payments, equipment purchases, vehicle costs and renovation spending are not automatic add-backs. Include necessary sales, estimating, field, scheduling and supervisory replacement consistently.
Use the earnings-basis guide to distinguish SDE, managed earnings and cash after financing, taxes and investment. Commercial maintenance does not by itself select EBITDA; no universal earnings threshold resolves the correct measure.
Test achieved service economics and renewal evidence
Reconcile maintenance visits, project work and seasonal services to annual reporting. Include driving/loading time, crew labor, materials, subcontractors, rework, credits, overhead and necessary equipment costs without duplicate deductions. Review actual renewal and cancellation history rather than valuing every contact as a continuing account.
Read customer conditions using the consent register. Show monthly collection and payment patterns separately from annual profit. Proposed routing improvements, hires, snow services or expansion are forecasts until supported by achieved results; fixed margin, daily-stop and recurring-revenue premiums are not established here.
Define the price perimeter and cash delivery
SBA sale guidance addresses agreement assets and liabilities.
(SBA: closing or selling a business)Verify title, liens, leases, condition and maintenance for fleet, tools and systems. Review necessary investment independently. Define materials/stock, receivables, payables, deposits and unfinished obligations using the delivery guide. Establish what a proposed earnings-based value already includes before adding every asset at replacement cost.
Keep agreed working-capital delivery, equipment investment and tax/financing consequences distinct. Use the seller preparation guide to organize evidence before price discussions. A scenario calculator applies stated inputs; it does not certify an appraisal or verify that a buyer will pay the result.
Owner questions
What is the sourced landscaping median multiple?
The cited national 2021–2025 sold owner-discretionary earnings sample reports 2.30x; compare its scope to the actual company.
Does commercial maintenance automatically justify EBITDA pricing?
Define the supported financial measure and necessary owner replacement; service mix alone does not decide it.
Should equipment be added to an earnings-based price?
First define included assets and delivery terms to avoid counting the same equipment twice.
Sources and review scope
Source review completed . The sources below support the identified concepts or rules; they do not validate hypothetical amounts or a valuation of your business.
- BizBuySell: landscaping and yard-service sold-business benchmarks
National reported 2021–2025 landscaping/yard-service sales, primarily local lawn-care, maintenance and related residential/commercial work. Primary sold owner-discretionary earnings table reproduced separately from asking prices. Not EBITDA, a tree-service-specific comparable set, a current appraisal or an automatic recurring-revenue premium. Other financial summaries and sector generalizations not republished.
- SEC: non-GAAP financial measure interpretations
Staff interpretations last updated December 2022: recurring operating costs and distinguishing EBITDA from adjusted measures. SEC reporting context, not a universal private-sale rule or automatic acceptance of add-backs.
- SBA: closing or selling a business
Valuation approaches, sale agreements, assets and ownership transfer.
Confirm tax, legal, accounting and lending applications with the relevant professionals. Historical market observations describe the stated period and reported sample.
This is educational material. Industry figures and program rules can change; check the original sources and your advisors before applying them to a transaction. Calculator scenarios are not appraisals, lending decisions, or offers.
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