Selling a Business in San Luis Obispo

Owners in the San Luis Obispo area sell to local buyers and to buyers from other markets. The area has 8,962 employer businesses, and 88% of them have fewer than 20 employees. This page shows what is here and how a sale is handled.

LOCAL SNAPSHOT

San Luis Obispo by the numbers

8,962

8,962

EMPLOYER BUSINESSES

88%

88%

SMALL EMPLOYER SHARE

26,183

26,183

BUSINESSES WITH NO EMPLOYEES

98,720

98,720

EMPLOYMENT

$5.7 billion

$5.7 billion

ANNUAL PAYROLL

3,775

3,775

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 San Luis Obispo compares

  • The San Luis Obispo area ranks 15th of 25 California metro areas for employer businesses.

  • The number of employer businesses grew 5.3% between 2018 and 2023.

  • Manufacturing makes up 5% of employer businesses in San Luis Obispo, compared with 3% in California.

  • 3,775 employer businesses here have 5 to 49 employees.

  • The San Luis Obispo area ranks 15th of 25 California metro areas for employer businesses.

  • The number of employer businesses grew 5.3% between 2018 and 2023.

  • Manufacturing makes up 5% of employer businesses in San Luis Obispo, compared with 3% in California.

  • 3,775 employer businesses here have 5 to 49 employees.

Industry mix

The largest industries by number of employer businesses:

  • Health care and social assistance: 1,221 employer businesses

  • Construction: 1,102 employer businesses

  • Accommodation and food service: 1,086 employer businesses

  • Retail: 1,077 employer businesses

  • Professional and technical services: 1,036 employer businesses

The largest industries by number of employer businesses:

  • Health care and social assistance: 1,221 employer businesses

  • Construction: 1,102 employer businesses

  • Accommodation and food service: 1,086 employer businesses

  • Retail: 1,077 employer businesses

  • Professional and technical services: 1,036 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 San Luis Obispo

We sell businesses in every one of these industries in San Luis Obispo. 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.

Construction & Engineering

1,249 related employer businesses in San Luis Obispo.

  • General Contracting: 361 employer businesses here. Typical sale multiple: 3.0x - 4.5x SDE.

  • Interior Finishing: 192 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Landscaping: 167 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Civil Engineering: 122 employer businesses here. Typical sale multiple: 7.0x - 11.0x EBITDA.

  • Plumbing: 121 employer businesses here. Typical sale multiple: 3.5x - 5.0x SDE.

  • HVAC Services: 121 employer businesses here. Typical sale multiple: 4.6x - 7.0x EBITDA.

  • Electrical: 111 employer businesses here. Typical sale multiple: 4.0x - 8.0x EBITDA.

  • Foundation & Site Prep: 97 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Fleet.

  • Roofing & Siding: 32 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Carpentry & Framing: 22 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Masonry: 18 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Equipment.

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

Restaurants & Food

913 related employer businesses in San Luis Obispo.

Medical Practices

771 related employer businesses in San Luis Obispo.

Financial & Professional Services

554 related employer businesses in San Luis Obispo.

Retail Stores

457 related employer businesses in San Luis Obispo.

Manufacturing

405 related employer businesses in San Luis Obispo.

Automotive & Boat

226 related employer businesses in San Luis Obispo.

  • Auto Repair: 94 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE.

  • Collision Repair: 36 employer businesses here. Typical sale multiple: 3.5x - 5.0x EBITDA.

  • Auto Parts: 33 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE + Inventory.

  • Car Dealerships: 30 employer businesses here. Typical sale multiple: 2x - 8x Blue Sky + Assets.

  • Car Washes: 16 employer businesses here. Typical sale multiple: 4.5x - 7.0x EBITDA.

  • Towing & Repo: 14 employer businesses here. Typical sale multiple: 3.0x - 4.0x EBITDA + Fleet.

  • Boat Dealerships: 3 employer businesses here. Typical sale multiple: 3.0x - 4.5x EBITDA.

Hospitality & Travel

223 related employer businesses in San Luis Obispo.

  • Hotels: 179 employer businesses here. Typical sale multiple: 2.6x - 5.1x EBITDA.

  • Motels: 179 employer businesses here. Typical sale multiple: 1.1x - 2.5x SDE.

  • Transportation Services: 16 employer businesses here. Typical sale multiple: 2.0x - 4.1x SDE.

  • Bed & Breakfasts / Inns: 12 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Campgrounds & RV Parks: 9 employer businesses here. Typical sale multiple: 4.0x - 7.0x EBITDA.

  • Travel Agencies: 7 employer businesses here. Typical sale multiple: 2.3x - 3.2x SDE.

Home Services

195 related employer businesses in San Luis Obispo.

Wholesale & Distribution

150 related employer businesses in San Luis Obispo.

Technology & Media

145 related employer businesses in San Luis Obispo.

Education & Childcare

115 related employer businesses in San Luis Obispo.

  • Daycare Centers: 102 employer businesses here. Typical sale multiple: 2.39x - 3.35x SDE.

  • Tutoring Centers: 13 employer businesses here. Typical sale multiple: 2.0x - 3.5x SDE.

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

Beauty & Personal Care

100 related employer businesses in San Luis Obispo.

  • Hair Salons: 39 employer businesses here. Typical sale multiple: 1.25x - 2.34x SDE.

  • Nail Salons: 34 employer businesses here. Typical sale multiple: 1.4x - 1.88x SDE.

  • Day Spas: 24 employer businesses here. Typical sale multiple: 1.8x - 2.8x SDE.

  • Tattoo Shops: 24 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Massage Parlors: 24 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Barber Shops: 3 employer businesses here. Typical sale multiple: 1.5x - 2.25x SDE.

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

Gas Stations & Convenience

98 related employer businesses in San Luis Obispo.

Logistics & Transportation

98 related employer businesses in San Luis Obispo.

Senior Care & Living

88 related employer businesses in San Luis Obispo.

Entertainment & Recreation

87 related employer businesses in San Luis Obispo.

  • Bars & Pubs: 44 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Clubs & Lounges: 44 employer businesses here. Typical sale multiple: 3.0x - 6.0x EBITDA.

  • Outdoor Recreation: 28 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Golf Courses: 12 employer businesses here. Typical sale multiple: 8.0x - 11.0x 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.

Pharmacies & Medical Supply

72 related employer businesses in San Luis Obispo.

Energy & Utilities

65 related employer businesses in San Luis Obispo.

Health & Fitness

60 related employer businesses in San Luis Obispo.

Pet Services

47 related employer businesses in San Luis Obispo.

Land & Agriculture

7 related employer businesses in San Luis Obispo.

E-commerce & Online Businesses

We sell businesses in every one of these industries in San Luis Obispo. 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.

Construction & Engineering

1,249 related employer businesses in San Luis Obispo.

  • General Contracting: 361 employer businesses here. Typical sale multiple: 3.0x - 4.5x SDE.

  • Interior Finishing: 192 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Landscaping: 167 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Civil Engineering: 122 employer businesses here. Typical sale multiple: 7.0x - 11.0x EBITDA.

  • Plumbing: 121 employer businesses here. Typical sale multiple: 3.5x - 5.0x SDE.

  • HVAC Services: 121 employer businesses here. Typical sale multiple: 4.6x - 7.0x EBITDA.

  • Electrical: 111 employer businesses here. Typical sale multiple: 4.0x - 8.0x EBITDA.

  • Foundation & Site Prep: 97 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Fleet.

  • Roofing & Siding: 32 employer businesses here. Typical sale multiple: 3.0x - 5.0x SDE.

  • Carpentry & Framing: 22 employer businesses here. Typical sale multiple: 2.5x - 4.0x SDE.

  • Masonry: 18 employer businesses here. Typical sale multiple: 2.5x - 4.0x EBITDA + Equipment.

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

Restaurants & Food

913 related employer businesses in San Luis Obispo.

Medical Practices

771 related employer businesses in San Luis Obispo.

Financial & Professional Services

554 related employer businesses in San Luis Obispo.

Retail Stores

457 related employer businesses in San Luis Obispo.

Manufacturing

405 related employer businesses in San Luis Obispo.

Automotive & Boat

226 related employer businesses in San Luis Obispo.

  • Auto Repair: 94 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE.

  • Collision Repair: 36 employer businesses here. Typical sale multiple: 3.5x - 5.0x EBITDA.

  • Auto Parts: 33 employer businesses here. Typical sale multiple: 2.5x - 3.2x SDE + Inventory.

  • Car Dealerships: 30 employer businesses here. Typical sale multiple: 2x - 8x Blue Sky + Assets.

  • Car Washes: 16 employer businesses here. Typical sale multiple: 4.5x - 7.0x EBITDA.

  • Towing & Repo: 14 employer businesses here. Typical sale multiple: 3.0x - 4.0x EBITDA + Fleet.

  • Boat Dealerships: 3 employer businesses here. Typical sale multiple: 3.0x - 4.5x EBITDA.

Hospitality & Travel

223 related employer businesses in San Luis Obispo.

  • Hotels: 179 employer businesses here. Typical sale multiple: 2.6x - 5.1x EBITDA.

  • Motels: 179 employer businesses here. Typical sale multiple: 1.1x - 2.5x SDE.

  • Transportation Services: 16 employer businesses here. Typical sale multiple: 2.0x - 4.1x SDE.

  • Bed & Breakfasts / Inns: 12 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Campgrounds & RV Parks: 9 employer businesses here. Typical sale multiple: 4.0x - 7.0x EBITDA.

  • Travel Agencies: 7 employer businesses here. Typical sale multiple: 2.3x - 3.2x SDE.

Home Services

195 related employer businesses in San Luis Obispo.

Wholesale & Distribution

150 related employer businesses in San Luis Obispo.

Technology & Media

145 related employer businesses in San Luis Obispo.

Education & Childcare

115 related employer businesses in San Luis Obispo.

  • Daycare Centers: 102 employer businesses here. Typical sale multiple: 2.39x - 3.35x SDE.

  • Tutoring Centers: 13 employer businesses here. Typical sale multiple: 2.0x - 3.5x SDE.

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

Beauty & Personal Care

100 related employer businesses in San Luis Obispo.

  • Hair Salons: 39 employer businesses here. Typical sale multiple: 1.25x - 2.34x SDE.

  • Nail Salons: 34 employer businesses here. Typical sale multiple: 1.4x - 1.88x SDE.

  • Day Spas: 24 employer businesses here. Typical sale multiple: 1.8x - 2.8x SDE.

  • Tattoo Shops: 24 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Massage Parlors: 24 employer businesses here. Typical sale multiple: 1.5x - 2.5x SDE.

  • Barber Shops: 3 employer businesses here. Typical sale multiple: 1.5x - 2.25x SDE.

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

Gas Stations & Convenience

98 related employer businesses in San Luis Obispo.

Logistics & Transportation

98 related employer businesses in San Luis Obispo.

Senior Care & Living

88 related employer businesses in San Luis Obispo.

Entertainment & Recreation

87 related employer businesses in San Luis Obispo.

  • Bars & Pubs: 44 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Clubs & Lounges: 44 employer businesses here. Typical sale multiple: 3.0x - 6.0x EBITDA.

  • Outdoor Recreation: 28 employer businesses here. Typical sale multiple: 2.0x - 4.0x SDE.

  • Golf Courses: 12 employer businesses here. Typical sale multiple: 8.0x - 11.0x 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.

Pharmacies & Medical Supply

72 related employer businesses in San Luis Obispo.

Energy & Utilities

65 related employer businesses in San Luis Obispo.

Health & Fitness

60 related employer businesses in San Luis Obispo.

Pet Services

47 related employer businesses in San Luis Obispo.

Land & Agriculture

7 related employer businesses in San Luis Obispo.

E-commerce & Online Businesses

Counties in this metro area

Working with owners in San Luis Obispo

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

FREQUENTLY ASKED QUESTIONS

Questions owners in San Luis Obispo ask

How long does it take to sell a business in San Luis Obispo?

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 San Luis Obispo?

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 San Luis Obispo

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