Restaurants often trade on Seller's Discretionary Earnings (SDE). Lease terms, location, and whether real estate is included heavily affect value.
Restaurants are usually valued on SDE, with multiples generally roughly 1.5x–3x SDE. Treat this as a starting point, not an appraisal — your actual multiple depends on size, margins, owner-dependence, customer concentration, and recent trend.
To narrow it down, get a professional valuation and read our full valuation guide.
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As a general rule of thumb, restaurants trade around roughly 1.5x–3x SDE on SDE, though this varies widely. Get a professional valuation for your specific business.