Selling a Business in Ann Arbor

Owners in the Ann Arbor area sell to local buyers and to buyers from other markets. The area has 8,322 employer businesses, and 83% of them have fewer than 20 employees. This page shows what is here and how a sale is handled.

LOCAL SNAPSHOT

Ann Arbor by the numbers

8,322

8,322

EMPLOYER BUSINESSES

83%

83%

SMALL EMPLOYER SHARE

34,024

34,024

BUSINESSES WITH NO EMPLOYEES

158,858

158,858

EMPLOYMENT

$11.2 billion

$11.2 billion

ANNUAL PAYROLL

3,646

3,646

BUSINESSES WITH 5 TO 49 EMPLOYEES

U.S. Census Bureau, County Business Patterns 2023 and Nonemployer Statistics 2024. Counts are employer establishments, meaning business locations with paid employees.

How Ann Arbor compares

  • The Ann Arbor area ranks 4th of 15 Michigan metro areas for employer businesses.

  • The number of employer businesses grew 1.3% between 2018 and 2023.

  • Professional and technical services makes up 16% of employer businesses in Ann Arbor, compared with 10% in Michigan.

  • 3,646 employer businesses here have 5 to 49 employees.

  • The Ann Arbor area ranks 4th of 15 Michigan metro areas for employer businesses.

  • The number of employer businesses grew 1.3% between 2018 and 2023.

  • Professional and technical services makes up 16% of employer businesses in Ann Arbor, compared with 10% in Michigan.

  • 3,646 employer businesses here have 5 to 49 employees.

Industry mix

The largest industries by number of employer businesses:

  • Professional and technical services: 1,301 employer businesses

  • Retail: 1,065 employer businesses

  • Health care and social assistance: 1,051 employer businesses

  • Accommodation and food service: 849 employer businesses

  • Repair, personal care and other services: 816 employer businesses

The largest industries by number of employer businesses:

  • Professional and technical services: 1,301 employer businesses

  • Retail: 1,065 employer businesses

  • Health care and social assistance: 1,051 employer businesses

  • Accommodation and food service: 849 employer businesses

  • Repair, personal care and other services: 816 employer businesses

What buyers look for

Buyers look first at profit that holds up under review. Three years of tax returns and profit and loss statements that match each other carry more weight than a high number that cannot be shown.

  • How much of the business depends on the owner

  • How concentrated sales are among a few customers

  • The lease, its remaining term and the landlord's consent to a sale

  • The condition of equipment and the contracts that transfer

Buyers look first at profit that holds up under review. Three years of tax returns and profit and loss statements that match each other carry more weight than a high number that cannot be shown.

  • How much of the business depends on the owner

  • How concentrated sales are among a few customers

  • The lease, its remaining term and the landlord's consent to a sale

  • The condition of equipment and the contracts that transfer

Every kind of business we sell in Ann Arbor

We sell businesses in every one of these industries in Ann Arbor. Counts are employer businesses in the closest Census industry codes. Industries without a clean Census match are listed without a count, and a few industries share one Census category, so their counts match. A sale multiple is the price a business typically sells for as a multiple of its earnings. SDE means seller's discretionary earnings, which is the owner's pay plus the profit of the business. EBITDA means earnings before interest, taxes, depreciation and amortization.

Restaurants & Food

808 related employer businesses in Ann Arbor.

Construction & Engineering

774 related employer businesses in Ann Arbor.

  • General Contracting: 212 employer businesses here. Typical sale multiple: 3.0x - 4.5x SDE.

  • Landscaping: 148 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Civil Engineering: 112 employer businesses here. Typical sale multiple: 7.0x - 11.0x EBITDA.

  • Interior Finishing: 104 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Plumbing: 70 employer businesses here. Typical sale multiple: 3.5x - 5.0x SDE.

  • HVAC Services: 70 employer businesses here. Typical sale multiple: 4.6x - 7.0x EBITDA.

  • Electrical: 38 employer businesses here. Typical sale multiple: 4.0x - 8.0x EBITDA.

  • Foundation & Site Prep: 36 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Fleet.

  • Roofing & Siding: 24 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Masonry: 13 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Equipment.

  • Carpentry & Framing: 11 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Remediation & Restoration: 6 employer businesses here. Typical sale multiple: 4.0x - 7.0x EBITDA.

Medical Practices

671 related employer businesses in Ann Arbor.

Retail Stores

451 related employer businesses in Ann Arbor.

Financial & Professional Services

411 related employer businesses in Ann Arbor.

Manufacturing

234 related employer businesses in Ann Arbor.

Automotive & Boat

219 related employer businesses in Ann Arbor.

  • Auto Repair: 82 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE.

  • Auto Parts: 43 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE + Inventory.

  • Car Dealerships: 39 employer businesses here. Typical sale multiple: 2x - 8x Blue Sky + Assets.

  • Collision Repair: 25 employer businesses here. Typical sale multiple: 3.5x - 5.0x EBITDA.

  • Car Washes: 17 employer businesses here. Typical sale multiple: 4.5x - 7.0x EBITDA.

  • Towing & Repo: 13 employer businesses here. Typical sale multiple: 3.0x - 4.0x EBITDA + Fleet.

Technology & Media

176 related employer businesses in Ann Arbor.

Wholesale & Distribution

157 related employer businesses in Ann Arbor.

Beauty & Personal Care

151 related employer businesses in Ann Arbor.

  • Hair Salons: 93 employer businesses here. Typical sale multiple: 1.25x - 2.34x SDE.

  • Day Spas: 39 employer businesses here. Typical sale multiple: 1.8x - 2.8x SDE.

  • Tattoo Shops: 39 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Massage Parlors: 39 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Nail Salons: 14 employer businesses here. Typical sale multiple: 1.4x - 1.88x SDE.

  • Barber Shops: 5 employer businesses here. Typical sale multiple: 1.5x - 2.25x SDE.

  • Medical Spas. Typical sale multiple: 2.5x - 4.5x EBITDA.

Logistics & Transportation

139 related employer businesses in Ann Arbor.

Home Services

134 related employer businesses in Ann Arbor.

Pharmacies & Medical Supply

133 related employer businesses in Ann Arbor.

Education & Childcare

129 related employer businesses in Ann Arbor.

  • Daycare Centers: 113 employer businesses here. Typical sale multiple: 2.39x - 3.35x SDE.

  • Tutoring Centers: 16 employer businesses here. Typical sale multiple: 2.0x - 3.5x SDE.

  • Preschools. Typical sale multiple: 3.12x - 4.0x SDE.

Gas Stations & Convenience

112 related employer businesses in Ann Arbor.

Entertainment & Recreation

87 related employer businesses in Ann Arbor.

  • Bars & Pubs: 35 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Clubs & Lounges: 35 employer businesses here. Typical sale multiple: 3.0x - 6.0x EBITDA.

  • Outdoor Recreation: 26 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Golf Courses: 19 employer businesses here. Typical sale multiple: 8.0x - 11.0x EBITDA.

  • Bowling Alleys: 4 employer businesses here. Typical sale multiple: 3.0x - 5.0x EBITDA.

  • Arcades & FECs: 3 employer businesses here. Typical sale multiple: 2.1x - 3.6x SDE.

  • Event Venues. Typical sale multiple: 2.8x - 3.5x Earnings.

  • Banquet Halls. Typical sale multiple: 3.5x - 4.5x Earnings.

  • Escape Rooms. Typical sale multiple: 1.5x - 3.5x SDE.

Health & Fitness

87 related employer businesses in Ann Arbor.

Senior Care & Living

54 related employer businesses in Ann Arbor.

Hospitality & Travel

53 related employer businesses in Ann Arbor.

  • Hotels: 38 employer businesses here. Typical sale multiple: 2.6x - 5.1x EBITDA.

  • Motels: 38 employer businesses here. Typical sale multiple: 1.1x - 2.5x SDE.

  • Transportation Services: 12 employer businesses here. Typical sale multiple: 2.0x - 4.1x SDE.

  • Bed & Breakfasts / Inns: 3 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

Pet Services

50 related employer businesses in Ann Arbor.

Energy & Utilities

22 related employer businesses in Ann Arbor.

E-commerce & Online Businesses

Land & Agriculture

We sell businesses in every one of these industries in Ann Arbor. Counts are employer businesses in the closest Census industry codes. Industries without a clean Census match are listed without a count, and a few industries share one Census category, so their counts match. A sale multiple is the price a business typically sells for as a multiple of its earnings. SDE means seller's discretionary earnings, which is the owner's pay plus the profit of the business. EBITDA means earnings before interest, taxes, depreciation and amortization.

Restaurants & Food

808 related employer businesses in Ann Arbor.

Construction & Engineering

774 related employer businesses in Ann Arbor.

  • General Contracting: 212 employer businesses here. Typical sale multiple: 3.0x - 4.5x SDE.

  • Landscaping: 148 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Civil Engineering: 112 employer businesses here. Typical sale multiple: 7.0x - 11.0x EBITDA.

  • Interior Finishing: 104 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Plumbing: 70 employer businesses here. Typical sale multiple: 3.5x - 5.0x SDE.

  • HVAC Services: 70 employer businesses here. Typical sale multiple: 4.6x - 7.0x EBITDA.

  • Electrical: 38 employer businesses here. Typical sale multiple: 4.0x - 8.0x EBITDA.

  • Foundation & Site Prep: 36 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Fleet.

  • Roofing & Siding: 24 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Masonry: 13 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Equipment.

  • Carpentry & Framing: 11 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Remediation & Restoration: 6 employer businesses here. Typical sale multiple: 4.0x - 7.0x EBITDA.

Medical Practices

671 related employer businesses in Ann Arbor.

Retail Stores

451 related employer businesses in Ann Arbor.

Financial & Professional Services

411 related employer businesses in Ann Arbor.

Manufacturing

234 related employer businesses in Ann Arbor.

Automotive & Boat

219 related employer businesses in Ann Arbor.

  • Auto Repair: 82 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE.

  • Auto Parts: 43 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE + Inventory.

  • Car Dealerships: 39 employer businesses here. Typical sale multiple: 2x - 8x Blue Sky + Assets.

  • Collision Repair: 25 employer businesses here. Typical sale multiple: 3.5x - 5.0x EBITDA.

  • Car Washes: 17 employer businesses here. Typical sale multiple: 4.5x - 7.0x EBITDA.

  • Towing & Repo: 13 employer businesses here. Typical sale multiple: 3.0x - 4.0x EBITDA + Fleet.

Technology & Media

176 related employer businesses in Ann Arbor.

Wholesale & Distribution

157 related employer businesses in Ann Arbor.

Beauty & Personal Care

151 related employer businesses in Ann Arbor.

  • Hair Salons: 93 employer businesses here. Typical sale multiple: 1.25x - 2.34x SDE.

  • Day Spas: 39 employer businesses here. Typical sale multiple: 1.8x - 2.8x SDE.

  • Tattoo Shops: 39 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Massage Parlors: 39 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Nail Salons: 14 employer businesses here. Typical sale multiple: 1.4x - 1.88x SDE.

  • Barber Shops: 5 employer businesses here. Typical sale multiple: 1.5x - 2.25x SDE.

  • Medical Spas. Typical sale multiple: 2.5x - 4.5x EBITDA.

Logistics & Transportation

139 related employer businesses in Ann Arbor.

Home Services

134 related employer businesses in Ann Arbor.

Pharmacies & Medical Supply

133 related employer businesses in Ann Arbor.

Education & Childcare

129 related employer businesses in Ann Arbor.

  • Daycare Centers: 113 employer businesses here. Typical sale multiple: 2.39x - 3.35x SDE.

  • Tutoring Centers: 16 employer businesses here. Typical sale multiple: 2.0x - 3.5x SDE.

  • Preschools. Typical sale multiple: 3.12x - 4.0x SDE.

Gas Stations & Convenience

112 related employer businesses in Ann Arbor.

Entertainment & Recreation

87 related employer businesses in Ann Arbor.

  • Bars & Pubs: 35 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Clubs & Lounges: 35 employer businesses here. Typical sale multiple: 3.0x - 6.0x EBITDA.

  • Outdoor Recreation: 26 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Golf Courses: 19 employer businesses here. Typical sale multiple: 8.0x - 11.0x EBITDA.

  • Bowling Alleys: 4 employer businesses here. Typical sale multiple: 3.0x - 5.0x EBITDA.

  • Arcades & FECs: 3 employer businesses here. Typical sale multiple: 2.1x - 3.6x SDE.

  • Event Venues. Typical sale multiple: 2.8x - 3.5x Earnings.

  • Banquet Halls. Typical sale multiple: 3.5x - 4.5x Earnings.

  • Escape Rooms. Typical sale multiple: 1.5x - 3.5x SDE.

Health & Fitness

87 related employer businesses in Ann Arbor.

Senior Care & Living

54 related employer businesses in Ann Arbor.

Hospitality & Travel

53 related employer businesses in Ann Arbor.

  • Hotels: 38 employer businesses here. Typical sale multiple: 2.6x - 5.1x EBITDA.

  • Motels: 38 employer businesses here. Typical sale multiple: 1.1x - 2.5x SDE.

  • Transportation Services: 12 employer businesses here. Typical sale multiple: 2.0x - 4.1x SDE.

  • Bed & Breakfasts / Inns: 3 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

Pet Services

50 related employer businesses in Ann Arbor.

Energy & Utilities

22 related employer businesses in Ann Arbor.

E-commerce & Online Businesses

Land & Agriculture

Counties in this metro area

Working with owners in Ann Arbor

Business Advisors of America works with owners who are selling a business in Ann Arbor. Contact us to talk about a sale.

FREQUENTLY ASKED QUESTIONS

Questions owners in Ann Arbor ask

How long does it take to sell a business in Ann Arbor?

The time depends on the price, the quality of the records and the number of qualified buyers. Many sales take six months or longer from the start of the process to closing.

How is a business valued in Ann Arbor?

Valuation starts with the earnings the business produces for an owner, then adjusts for assets, size, industry and the terms a buyer is likely to accept. The result is a range, and the asking price is set inside it.

Is the sale confidential?

Buyers are asked to sign a non-disclosure agreement before they see the name of the business or its financial statements.

FROM OUR BLOG

Guides for owners in Ann Arbor

October 3, 2025

Business Owners

Add-Backs: What Counts, What Does Not, and What Buyers Push Back On

Every add-back you can prove raises your sale price by two to three times its amount. Every add-back you cannot prove costs you credibility on all the others.

Read article

October 3, 2025

Business Owners

Add-Backs: What Counts, What Does Not, and What Buyers Push Back On

Every add-back you can prove raises your sale price by two to three times its amount. Every add-back you cannot prove costs you credibility on all the others.

Read article

March 5, 2026

Business Owners

Buyer Qualification: How We Screen Out the Buyers Who Cannot Close

Most inquiries on a business listing come from people who cannot close. Here is how they get screened out before they see your name or your financials.

Read article

March 5, 2026

Business Owners

Buyer Qualification: How We Screen Out the Buyers Who Cannot Close

Most inquiries on a business listing come from people who cannot close. Here is how they get screened out before they see your name or your financials.

Read article

February 9, 2026

Business Owners

The Confidential Information Memorandum: What Goes In It and Why

The CIM is the document a buyer reads before they decide to spend time on your business. Here is what it has to contain and the mistakes that cost sellers offers.

Read article

February 9, 2026

Business Owners

The Confidential Information Memorandum: What Goes In It and Why

The CIM is the document a buyer reads before they decide to spend time on your business. Here is what it has to contain and the mistakes that cost sellers offers.

Read article