Managed Service Providers Valuation Calculator
Cited Band
2.20x to 3.87x SDE (sold quartiles)
Source: BizBuySell, IT and software services sold-listing benchmarks (2021-2025)
Implied Range
$1,100,000 to $1,935,000
A band, not a price. Answer the drivers below to place this business inside it.
Testing a real deal at a price in this range? Underwrite it end to end with the midpoint and the earnings carried over.
Where This One Sits
How much revenue recurs?
How concentrated are the customers?
What happens when the owner leaves for a month?
How clean are the books?
Do the licenses, leases and contracts transfer?
Nothing answered yet, so there is no reading. This does not default to the middle: a midpoint shown for a blank form would say your business is average when you have not told it anything.
The drivers that move the number in this trade specifically are in the full Managed Service Providers guide. The picker holds every trade whose cited band is a multiple of one earnings figure; the 13 priced on cap rates, collections, revenue or two bases at once are named with their reasons rather than left out silently. Every cited band, with its drivers and source, is listed below on this page.
What Moves the Multiple
MSPs under $1M of EBITDA sit near 4x with sub-$5M transactions averaging around 5x; recurring-revenue mix is the largest lever at a given size, with managed-services MRR valued several times project revenue.
Band cited from BizBuySell, IT and software services sold-listing benchmarks (2021-2025). What moves a business inside it, what licensing applies, and what diligence to run are in the Managed Service Providers buy guide.
Embed This Band
The card below is free to embed with the link intact; it always shows this page's current cited band.
