Hospitality · NAICS 722320

Catering Valuation Multiples (2026)

Catering companies value corporate contract base and recurring revenue. Strong corporate base with owned commissary kitchen reaches 0.6× revenue and 4.5× EBITDA.

SDE multiple
1.6–2.6×
EBITDA multiple
3.5×
2.8–4.5×
Revenue multiple
0.4×
0.3–0.6×

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Pick your industry and enter revenue + EBITDA / SDE. We'll triangulate three valuation methods and show what buyers typically pay for businesses like yours.

Industry: Catering · Hospitality

Premium drivers

  • Corporate contract base
  • Owned commissary / kitchen
  • Strong reviews / repeat client base
  • Cross-channel revenue (events + corporate + delivery)

Discount drivers

  • Heavy seasonality (wedding-only)
  • Owner-as-chef dependence
  • Aging kitchen equipment
  • Limited tech / booking system

Who buys catering?

Larger catering company, hospitality group, or operator buyer

Typical timeline + revenue band

  • Days to close: 60150
  • Revenue band these multiples apply to: $500K$3.00M
  • NAICS: 722320 (Hospitality)

5 levers that lift your Catering multiple by 30-50%

  1. 1
    Lock in recurring revenue
    Convert the top of your catering revenue stack into multi-year contracts, retainers, or auto-renewing subscriptions. Buyers pay 25-40% more for revenue they don't have to re-win every quarter.
  2. 2
    De-risk customer concentration
    Aim for no single customer above 15% of revenue. If you have a > 25% client, get them on a multi-year master services agreement before going to market.
  3. 3
    Document the business out of the owner
    Larger catering company, hospitality group, or operator buyer will discount aggressively for any function that lives in the owner's head — sales, key vendor relationships, pricing, hiring. Run the next 90 days like the owner is on a 6-week vacation.
  4. 4
    Clean up the financials
    Get a Quality of Earnings-ready trailing 12 months: GAAP-aligned, owner add-backs documented, no commingled personal expenses. This alone moves the multiple 0.5-1.0× upward in this category.
  5. 5
    Match the deal to the right buyer pool
    strategic acquirers and operator buyers compete on different terms. List with someone who has run a process for catering acquisitions — generic SMB brokers will leave 20%+ on the table.
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FAQ — Catering valuations

What's a typical catering valuation multiple?

Typical catering valuations land near 2× SDE, 3.5× EBITDA, or 0.4× revenue. Strong operators reach 2.6× SDE / 4.5× EBITDA / 0.6× revenue, while weaker operators stay closer to 1.6× SDE / 2.8× EBITDA / 0.3× revenue.

How long does it take to sell a catering?

Most catering deals close in 60–150 days from listing. Strong operators with clean financials and a documented buyer pool close on the lower end.

Who buys a catering business?

Larger catering company, hospitality group, or operator buyer

What pushes a catering valuation to the high end?

Corporate contract base. Owned commissary / kitchen. Strong reviews / repeat client base. Cross-channel revenue (events + corporate + delivery).

What forces a discount when selling a catering?

Heavy seasonality (wedding-only). Owner-as-chef dependence. Aging kitchen equipment. Limited tech / booking system.