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Larger companies$10,000,000 in sales
What is a company with $10,000,000 in sales worth? The size where your pay stops counting as profit
At this size a buyer starts pricing the company as if a hired manager ran it. That changes the number.
Valuation
8 min read
Figures: IRS tax year 2023U.S. Small Business Administration, effective October 1, 2026TagniFi through March 2026Market Pulse through Q2 2026Read November 12, 2026
Legend Atty · Founder, BridgeBook
Published
What is $10,000,000 of sales worth to a buyer?
The short answer: a company with $10,000,000 in sales is priced on its profit, and this is where buyers stop counting the owner's pay as profit. S corporations this size kept about 9.1%[1] of sales before interest, depreciation and amortization in tax year 2023, by our math on IRS figures. On $10,000,000, that's $910,000. Here's what buyers do with it.
- IRS margin at this size
- 9.1%[1]Before interest, depreciation and amortization, tax year 2023, our math
- EBITDA at that rate
- $910,000A made-up example on $10,000,000 of sales
- Our sold-deal range, typical
- $3,601,536$2,823,234 to $4,569,748, on a blend of owner's earnings and EBITDA
- Other publishers' figures
- Exhibit 2For company values near this one, named and dated
The IRS figure covers every S corporation with $10,000,000 to $50,000,000 in sales, taken together, sorted by business receipts. This page calls those receipts sales. Their business profit was 7.3%[1] of what they took in. That's what they reported to the IRS as profit, before the owners' own income tax.
The range in the tool comes from the sold-deal data behind our calculator, IBBA and M&A Source Market Pulse[2]. At the IRS rate, a company this size lands between two ways of counting profit. So the tool reports on a blend of owner's earnings and EBITDA, and the next section says why.
Your numbers
Industry: All industries
IRS, S corporations with $10,000,000 to $50,000,000 in sales, tax year 2023, our math. Change it to yours.
A made-up example at the IRS rate
$910,000
A made-up example: 9.1% of $10,000,000 in yearly sales. EBITDA is yearly profit before interest, taxes, depreciation and amortization.
Our sold-deal data puts that EBITDA at
$2,823,234 to $4,569,748
Typical $3,601,536, on a blend of owner's earnings and EBITDA.
IBBA and M&A Source Market Pulse, closed deals of $5,000,000 to $50,000,000. Typical is the middle of its recent readings. Our figures checked November 2, 2026.
Other publishers' figures, not ours
| Company value | Multiple of EBITDA | Publisher |
|---|---|---|
| $10,000,000 to $25,000,000 | 5.9x | GF Data, average, through the third quarter of 2025 |
| $25,000,000 to $50,000,000 | 6.6x | GF Data, average, through the third quarter of 2025 |
| $50,000,000 to $100,000,000 | 8.7x | GF Data, average, through the third quarter of 2025 |
| $100,000,000 to $250,000,000 | 10.0x | GF Data, average, through the third quarter of 2025 |
| $1,000,000 to $10,000,000Near yours | 5.5x | TagniFi, median, twelve months to March 31, 2026 |
| $10,000,000 to $50,000,000 | 7.3x | TagniFi, median, twelve months to March 31, 2026 |
| $50,000,000 to $200,000,000 | 9.0x | TagniFi, median, twelve months to March 31, 2026 |
| $200,000,000 to $500,000,000 | 11.4x | TagniFi, median, twelve months to March 31, 2026 |
These figures come from outside reports, not from BridgeBook's own data: each one counts different deals in its own way, so read them as a guide to the market, not as a price for your company.
At this profit you can book a call with a dedicated advisor.
The valuation asks your sales and profit again, then your name, email and cell phone, and shows a range.
When does a buyer stop counting your pay?
Somewhere around this size. A smaller company is priced on SDE, seller's discretionary earnings: profit plus one owner's pay and perks. A larger one is priced on EBITDA, yearly profit before interest, taxes, depreciation and amortization, after paying someone to run it.
Smaller owner-run businesses are priced on SDE and larger ones on EBITDA: our calculator uses SDE under $1,000,000 of yearly owner earnings, EBITDA (SDE less a $150,000 manager's salary) from $2,000,000, and a blend of the two in between.
A made-up example: the company at the IRS rate earns $910,000 of EBITDA. Put back a $150,000 manager and the owner's earnings come to $1,060,000. That's between $1,000,000 and $2,000,000, so our calculator prices it on a blend of the two.
Officers' pay at this size adds up to more than one manager's salary. S corporations with $10,000,000 to $50,000,000 in sales paid their officers 2.3%[1] of receipts in tax year 2023. On $10,000,000 of sales, that rate comes to $230,000, often split across more than one person. The IRS margin above is after that pay.
So the question isn't what you pay yourself. It's what a buyer would pay someone to do your job. If that's less than you take, the difference counts as profit. If it's more, the buyer takes it off. More on SDE and EBITDA.
What would three margins do to the price?
Move it a lot, and move the way it's counted. A made-up example: the same $10,000,000 of sales at a thin margin, at the IRS rate and at a wide one.
One made-up company with $10,000,000 in sales, at three margins
Band is sale price| Margin | EBITDA | Priced on | Our sold-deal range | Typical |
|---|---|---|---|---|
| 6.0% | $600,000 | Owner's earnings | $1,820,000 to $3,003,000 | $2,338,700 |
| 9.1% (IRS rate) | $910,000 | A blend | $2,823,234 to $4,569,748 | $3,601,536 |
| 14.0% | $1,400,000 | A blend | $4,748,150 to $6,915,260 | $5,827,349 |
Source: IBBA and M&A Source, Second quarter of 2026[2]. Made-up example. The ranges are the sold-deal data behind our calculator, checked November 2, 2026.
The thin-margin version is priced on owner's earnings. The wide one is worth $5,827,349 at the typical figure, against $3,601,536 at the IRS rate.
Where your own margin sits depends on your industry and your pricing. See the size bands on average profit margin by company size. A company twice this size is on the $20,000,000 page.
Who can buy a company this size?
Buyers with an SBA loan still can, while the price fits inside one loan. Much above this size, one loan no longer covers it, and the mix of buyers changes.
Buyers with an SBA loan
An SBA 7(a) loan is a bank loan the Small Business Administration partly guarantees. One loan tops out at $5,000,000[3]. At the IRS rate, the typical figure for this company is $3,601,536, inside that limit. At the wide margin in Exhibit 1, it's $5,827,349, past it.
SBA rules in effect from October 1, 2026 set the buyer's share. A new outside owner puts in at least 10%[4] of the price, and that can't be waived. A note you carry can count toward half of it, and only if you take no payments while the loan is open.
On purchases of $3,000,000 or more, the lender must now get a quality of earnings report[4]. That's an outside accountant's test of your earnings and add-backs, and it lands on your books before closing. Here's what that review looks like from the seller's chair.
Search funds and funds that already own a company
A search fund is a group of investors backing one person to find and run one company. U.S. and Canadian search funds paid a median $16,000,000[5] for what they bought in 2024 and 2025, Stanford found. That median sits above the range for this company at the IRS rate.
Private equity funds buy here too, often as add-ons: companies bought to join one the fund already owns. Add-ons were about three of every four U.S. buyouts in the second quarter of 2026, by PitchBook's count[6].
Other publishers' figures for deals near this size
Band is company valueOther publishers' figures, not ours
| Company value | Multiple of EBITDA | Statistic | Buyers | Period | Publisher |
|---|---|---|---|---|---|
| $1,000,000 to $10,000,000Near yours | 5.5x | Median | All buyers | Twelve months to March 31, 2026 | TagniFi[7] |
| $10,000,000 to $50,000,000 | 7.3x | Median | All buyers | Twelve months to March 31, 2026 | TagniFi[7] |
| $10,000,000 to $25,000,000 | 5.9x | Average | Private equity, platform buyouts | Through the third quarter of 2025 | GF Data[8] |
These figures come from outside reports, not from BridgeBook's own data: each one counts different deals in its own way, so read them as a guide to the market, not as a price for your company.
Source: TagniFi, Twelve months to March 31, 2026[7]; GF Data, Through the third quarter of 2025[8].
TagniFi's smallest group, all buyers, sits below the smallest one GF Data reports. We print both as other publishers' figures and don't turn them into a price for you. Who buys at each size is on who buys a company your size.
Whoever buys, the price in an offer isn't what lands in your account. Debt, any note you carry and the adjustments at closing come out first. See what reaches you on closing day.
What we'd look at first
At this size the first call is mostly about whether the profit holds up without you. A dedicated advisor asks for these.
- Twelve months of monthly statements, checked against the last tax return so the two tell one story.
- Your list of add-backs, and the bill, lease or pay stub that proves each one.
- Who runs sales, purchasing and daily operations when you're out for two weeks.
- What share of last year's sales came from your three largest customers.
Those four answers tell your advisor which way the earnings will be counted, and which buyers can afford you.
Selling a company with $10,000,000 in sales, by industry
Each of these pages has a section for a company your size in that industry: its margin, who buys it and what they check.
- Manufacturing of any kind
- Food manufacturing
- Metal fabrication and machine shops
- Machinery manufacturing
- Building construction
- Site work and civil construction
- HVAC, plumbing and electrical
- Distribution and wholesale
- Food and beverage distribution
- Trucking and logistics
- Staffing and recruiting
- Commercial facility services
- Waste management
Questions owners ask at $10,000,000
How much is a business with $10,000,000 in revenue worth?
It depends on its profit, not its sales. S corporations this size kept 9.1% before interest, depreciation and amortization, by our math on IRS figures, about $910,000 on $10,000,000. The sold-deal data behind our calculator puts that profit at $2,823,234 to $4,569,748. Your own margin moves it most.
Is a $10,000,000 company valued on SDE or EBITDA?
Often a blend. Smaller owner-run businesses are priced on SDE and larger ones on EBITDA: our calculator uses SDE under $1,000,000 of yearly owner earnings, EBITDA (SDE less a $150,000 manager's salary) from $2,000,000, and a blend of the two in between.
Can a buyer use an SBA loan for a company this size?
Yes, up to a point. One 7(a) loan tops out at $5,000,000. Past that, a buyer brings more of their own money, other debt or a partner.
What does a buyer ask for first?
Monthly statements that tie to your tax returns, a list of add-backs with the paper behind each, and who runs what when you're away.
Where these numbers come from
The sold-deal data behind our calculator: IBBA and M&A Source Market Pulse, closed deals. Our figures checked November 2, 2026.
- IRS Statistics of Income, Corporation Income Tax Returns Complete Report (Publication 16), Table 3.2, Form 1120-S by size of business receipts. Tax Year 2023, released September 2026. Read November 12, 2026.
- IBBA and M&A Source, Market Pulse Q2 2026 Highlights. Second quarter of 2026. Read November 12, 2026.
- U.S. Small Business Administration, 7(a) loans. Opened November 12, 2026. Read November 12, 2026.
- U.S. Small Business Administration, SOP 50 10 8.1, Lender and Development Company Loan Programs. Effective October 1, 2026. Read November 12, 2026.
- Stanford Graduate School of Business, Search Funds Keep Offering a Proven Path to Ownership. Purchases in 2024 and 2025. Read November 12, 2026.
- PitchBook, Q2 2026 US PE Breakdown. Second quarter of 2026. Read November 12, 2026.
- TagniFi, PowerComps Middle Market Update for the first quarter of 2026: Quality Over Quantity. Twelve months to March 31, 2026. Read November 12, 2026.
Percentages are BridgeBook's arithmetic on the IRS dollar figures.
Outside figures are other publishers', named and dated, and they don't feed our calculator. How we use outside figures
Keep reading
- Larger companiesWhat a $20,000,000 Company Is WorthWhy margin moves your price more than the multiple, and which costs a buyer will count.
- Larger companiesWho Buys a Company Your SizeThe kinds of buyer for a mid-size company, how each pays, and what each does after closing.
- What it's worthSDE vs. EBITDAThe two ways buyers measure earnings, which one fits your business, and which add-backs count.
- SellingHow to sell a businessThe steps from a first valuation to closing day, and what to get ready before buyers look.
- Larger companiesAverage Profit Margin by Company SizeWhat companies your size keep as profit, by size and by industry, from tax returns the IRS publishes.
- Larger companiesWhat a $30,000,000 Company Is WorthWhy the team that runs your company matters as much as its profit when buyers set a price.
One important decision. Two good places to start.
See where your company lands
The valuation asks your sales and profit, works out which way to count them, and shows a range. It asks your name, email and cell phone before the result.
Your exit credit comes off our success fee at closing and grows with your yearly sales: $5,000 under $5,000,000 in sales ($2,500 for your valuation report, plus $2,500 for your advisor call or for starting your listing), up to $50,000 at $100,000,000 or more.
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