EBITDA Multiples by Industry: Ranges and How to Read Them
Current EBITDA multiple ranges in the DACH region by industry — and why the table is only the starting point, not the price tag.
The EBITDA multiple in the DACH region sits roughly between four and eight times. But the industry decides where in that range you land — and whether you reach it at all.
A multiple is quickly named: take EBITDA, multiply by an industry-typical factor, and there is your ballpark. So much for the theory. In practice, the range by industry, size and quality is so wide that the table is only the starting point.
Current ranges by industry (DACH region)
In the German market, EBITDA multiples currently move between roughly 4.1x and 7.3x according to recent market surveys (as of Q1 2026), averaging about 5.7x. Across all sizes and profiles the span runs from around 3.5x to 10x. Roughly ordered by industry:
| Industry | Typical EBITDA range |
|---|---|
| Software / SaaS | approx. 8x–14x (recently declining) |
| IT services | approx. 7x–12x |
| Healthcare / medtech | approx. 6x–14x |
| Industrial services | approx. 5x–8x |
| Mechanical engineering / classic manufacturing | approx. 3x–7x |
| Trades / construction | approx. 4x–7x |
These figures are orientations from aggregated transaction data, not guaranteed prices. For more precision, continuously updated multiples are available from the KPMG multiples. Two notes for context: in Switzerland multiples tend to be 10 to 20 percent higher, and software multiples fell noticeably in 2025/2026 — partly because of the uncertainty around AI.
Why the range is so wide
That software can achieve double the multiple of a construction firm is not down to the industry alone, but to what the industry typically brings with it.
The biggest difference is made by the quality of revenue. Recurring, contractually bound income — as with SaaS — is predictable and valued more highly than project-based revenue that has to be earned anew each year.
The second factor is growth. A company growing in double digits justifies a higher factor than one that stagnates. The third is scalability: those who can grow without tying up proportionally more assets and staff are worth more.
Within an industry, company size ultimately plays its part: larger, more professionally run businesses sit at the upper end of the range, small owner-dependent ones at the lower.
How to read the table correctly
The most common mistake is to treat the multiple as the price. It is a reality check, not a price tag.
Two things are often overlooked. First: the multiple is applied to a normalised EBITDA — adjusted for one-off effects, a market-standard managing-director salary and exceptional items. An inflated, dressed-up EBITDA times a high factor produces a fantasy figure that collapses in due diligence.
Second: the multiple usually yields the enterprise value, not the amount that reaches you. Net financial debt is deducted from it (or net cash added). Only then does the equity value stand — what you receive as the seller.
What pulls your multiple up or down
The good news: within your industry range, much is influenceable. Lower owner dependency, a second management tier, documented processes, a broad customer base instead of concentration risk, and a share of recurring revenue shift you upward.
Which of these levers pay off most before a sale is summarised in "Increasing company value". And why the method alone does not decide in the end, you can read in "What is my company worth?".
From the multiple to the real price
An industry multiple tells you whether a buyer's idea is within a realistic frame. It does not tell you what will end up in the contract.
The difference is made by a concrete buyer with a concrete reason to pay more than the average — and a structured process in which several interested parties compete for your company. The table is the starting point. The price is created in the negotiation.
The real value is created in the negotiation, not in the formula. For a realistic, independent assessment: IGCP Capital Partners. → igcp.at
Frequently Asked Questions
Which EBITDA multiple is realistic for my company?
It depends on industry, size, growth, revenue quality and owner dependency. The industry range sets the frame; where exactly you sit is decided by your company's value drivers. A sound assessment combines the multiple with other methods and checks plausibility.
Why have software multiples fallen recently?
After years of very high valuations, the interest-rate environment and the uncertainty around AI pushed multiples for software and SaaS down in 2025/2026. That shows that industry multiples are snapshots — they fluctuate with the economy, interest rates and market trends, and should always be used with a current source.
Does the multiple apply to revenue or to profit?
The factors named here refer to EBITDA, i.e. earnings before interest, taxes, depreciation and amortisation. There are also revenue multiples, especially for strongly growing, still barely profitable companies — these are in an entirely different order of magnitude and are not comparable with EBITDA multiples.
Do I receive the calculated amount?
Not necessarily. The multiple usually yields the enterprise value. Net financial debt is deducted from it before the equity value is fixed. The purchase-price structure — an earn-out, for example — also affects how much actually flows, and when.