National transaction benchmarks for entertainment and recreation business businesses.
Under $500K
Median revenue$334k
Median cash flow$78k
Median sale price$150k
Multiple range1.3x - 2.8x
$500K to $2M
Median revenue$1.13m
Median cash flow$266k
Median sale price$783k
Multiple range2.6x - 4.1x
Over $2M
Median revenue$3.19m
Median cash flow$978k
Median sale price$2.81m
Multiple range2.8x - 3.7x
A variety of factors can cause businesses to trade outside this range, including earnings quality, operational transferability, key-person risk, growth trajectory, and geography, so a listing priced above or below the typical multiple usually reflects real differences in the underlying business.
What to know about entertainment and recreation business acquisitions
Key diligence, valuation, financing, and transition considerations for buyers evaluating entertainment and recreation business acquisitions.
Appraise the real estate and capital condition separately from the operation
Courses, lanes, docks, and venues carry expensive, deferrable maintenance — a typical 18-hole course alone runs $400K–$900K a year in upkeep. Get the land and equipment assessed on their own.
Confirm the licenses and permits transfer
Liquor, gaming, and entertainment licenses are often the most valuable and most fragile part of the deal and may not pass automatically.
Review several seasons, not one
Weather, tourism, and the economy swing this revenue hard; look at multiple years and the off-season carrying cost.
Separate recurring revenue from event revenue
Memberships, slip rentals, and league play are durable; one-off events and bar nights are volatile. Price the recurring base differently.
Quantify the capital you'll need after close
Deferred course work, lane refurbishments, and dock repairs add up fast; budget the real plan, not the seller's.
Understand booking, membership, and reputation dependence
Event pipelines, member rolls, and online reputation drive the calendar — know whether they survive a change of owner.
Frequently Asked Questions
Answers to common buyer questions for this market.
Yes, but they're scrutinized for seasonality, real-estate value, and capital needs. Recurring memberships and well-kept facilities fund more easily than discretionary event nights.
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