THE SHORT ANSWER
Reconcile supported QSR unit earnings after actual recurring costs, define necessary owner/management work and usable included assets, then select relevant sold comparisons. Broad restaurant benchmarks are historical owner-earnings evidence rather than QSR-only or managed-platform EBITDA pricing. Resolve actual franchise, lease and required investment conditions before treating a sales headline or chosen multiple as a sale value.
Use broad historical restaurant evidence within its scope
BizBuySell’s primary national 2021–2025 restaurant sample includes several local concepts and a smaller franchise-unit component.
(BizBuySell: restaurant sold valuation benchmarks)| 2021–2025 broad restaurant sold owner-earnings statistic | Multiple |
|---|---|
| Lower quartile | 1.34x |
| Median | 1.85x |
| Mean | 2.15x |
| Upper quartile | 2.53x |
Match concept, brand conditions, geography, scale, hours, channel mix, owner work, earnings definitions and included assets. Select genuinely comparable current transactions separately. Ten years trading, a documented workflow and multiple locations do not independently establish an upper-quartile price or a universal EBITDA threshold.
Reconcile actual channel costs and applicable fees
Trace fulfilled counter, drive-through, direct and provider orders where offered through discounts, refunds, fees, settlements and collection. Reconcile locations and shared costs without counting the same order twice. Include actual ingredients/waste, packaging, crew, supervision, premises, utilities, repairs and applicable platform, brand and marketing costs.
| Invented annual QSR cost illustration | Assumed amount |
|---|---|
| Fulfilled sales on the stated basis | $1,000,000 |
| Food and labor costs | $600,000 |
| Occupancy and administration | $180,000 |
| Royalty expense | $60,000 |
| Advertising expense | $20,000 |
| Remainder after these specified costs | $140,000 |
Use actual expense bases and definitions. A percentage in this invented example does not describe any brand’s terms. Gross sales, provider payouts and franchise marketing claims are separate from annual earnings after all necessary costs.
Define owner work and proposed operating rights
SEC adjusted-measure guidance is an issuer-presentation reference.
(SEC: non-GAAP financial measure interpretations)Have the accountant define starting period/measure, actual deducted expenses and future purpose. Draws, debt principal, equipment purchases and every remodel or vehicle charge are not automatic adjustments. Include recurring buying, scheduling, shift supervision and complaint replacement using the earnings-basis guide.
FTC consumer guidance addresses franchise costs, controls and transfer questions.
(FTC: consumer guide to buying a franchise)Review actual current franchise agreements and proposed buyer conditions with advisors and the franchisor. Resolve any continuing costs, transfer fees, training or required investment on the actual terms. For an independent, verify actual brand/IP and provider rights. Temporary seller help is separate from permanent funded management.
Keep equipment, lease and closing scope consistent
SBA sale guidance describes valuation approaches and agreement assets/liabilities.
(SBA: closing or selling a business)Review kitchen/POS/signage ownership, liens, leases, condition and necessary investment, plus actual premises and authority conditions with appropriate support. Determine what the earnings-based proposal includes before adding equipment, brand or goodwill again. A mandated remodel is a funding condition, not automatically an earnings add-back.
Resolve actual lease/provider consents using the consent register. Define inventory, receivables, payables, gift/stored value, deposits, open orders, refunds and claims using the delivery guide. Use the seller preparation guide for unit records. Compare proposals on funded continuation and total terms; scenario tools do not certify an appraisal or establish franchisor approval.
Owner questions
Is the restaurant sold median QSR-only EBITDA?
It is broad historical restaurant owner-discretionary earnings, not QSR-only or platform EBITDA data.
Can recurring franchise costs simply be added back?
Define actual future obligations and supported measure treatment; a recurring fee is not automatically removable.
Should a required remodel be ignored in pricing?
Review actual conditions, funding, asset scope and accounting treatment rather than assume a blanket add-back.
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: restaurant sold valuation benchmarks
Primary national 2021–2025 reported sold restaurant owner-discretionary earnings table. Broad small locally owned restaurant concepts include pizzerias and a smaller franchise-unit component. Not pizza-only, managed-platform EBITDA, current appraisal or guaranteed company range. Asking/revenue and other financial/macro conclusions separate.
- 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.
- FTC: consumer guide to buying a franchise
September 2020 consumer guide, checked October 10, 2026: costs, controls, contractual obligations and FDD Item 17 transfer/renewal questions. General review guidance; actual resale approvals, agreements, current federal/state obligations and proposed buyer terms require transaction-specific professional review. This guide does not approve a resale or establish its price.
- 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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