2026 Data

Auto Repair Shop Acquisition Cost Index

Median prices, SDE multiples, and financing data for auto repair shop acquisitions. Source: BizBuySell Automotive Sector Report 2024.

Educational data only. Figures are medians from published industry reports — not a site-specific valuation or financial advice. Disclaimer →

Median Acquisition Price

$195K

Median Annual Revenue

$580K

Median SDE

$110K

SDE Multiple Range

1.5x–3x

Typical LTV

80%

Avg Down Payment

20%

Avg DSCR

1.3x

Time to Close

2–5 mo

SBA Eligibility

~70%

Financing Details

Typical LTV80%

Avg down payment20% of price

Avg DSCR on closed deals1.3x

SBA eligibility rate~70% of deals

Market trend→ Stable

Common deal structures

SBA 7(a)Seller FinancingConventional Bank

Key Valuation Factors

•ASE-certified technician count directly affects customer retention post-acquisition
•Franchise affiliation (Midas, Meineke, Jiffy Lube) commands premium and improves SBA approval
•Real estate ownership vs. lease substantially affects deal structure and total acquisition cost
•Equipment inventory and condition (lifts, diagnostic tools) affect asset-based valuation

SBA Financing for Auto Repair Shop Acquisitions

Approximately 70% of auto repair shop transactions use SBA financing. SBA 7(a) is the most common structure, with a minimum 10% equity injection on the acquisition price. At a median price of $195K, that means approximately $20K out of pocket before closing costs and working capital.

DSCR requirement: SBA lenders require ≥ 1.25x on projected post-acquisition cash flow. The average DSCR on closed auto repair shop transactions is approximately 1.3x — meaning there is typically adequate headroom.

Check DSCR for this deal →SBA 7(a) explained →

Data sources:

BizBuySell Automotive Sector Report 2024

IBBA Market Pulse Q4 2024

Full methodology →

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