What is my practice worth?

How this estimate works

1. Your recurring revenue is multiplied by each published multiple of recurring revenue that applies to a practice your size. The full range runs from the lowest result to the highest.
2. Where a source reports the range most deals fell in, that narrower range is shown first.
3. Where a source gives a multiple of total revenue, it is shown as a cross-check, not as part of the range.
4. Revenue no source puts a multiple on is left out and named, rather than guessed.
5. Growth, revenue per client, client concentration, transition timing and client ages are shown with what the sources say about them. They are not turned into numeric adjustments, because the sources do not give numbers for them.
6. Nothing you enter is stored unless you are signed in and choose "Save this estimate."

The figures we use

• 1.6x to 4.4xTypical multiple of recurring revenue

  Applies to: RIAs and advisors with recurring revenue.

  "For RIAs and advisors with recurring revenue, that multiplier typically falls between 1.6x and 4.4x." Source: Succession Resource Group, successionresource.com, May 13, 2025; checked Oct 5, 2026.

• 2.5x to 3.5xMultiple of recurring revenue paid in 62.8% of the deals SRG tracked in 2024

  Applies to: Books of business in 176 transactions completed in 2024 and tracked by SRG.

  "Nearly two-thirds (62.8%) of deals were paid between 2.50x and 3.50x recurring revenue" Source: Succession Resource Group, successionresource.com, Feb 25, 2025; checked Oct 5, 2026.

• 3.27xAverage multiple of recurring revenue, 2025

  Applies to: Books of business in 171 transactions completed in 2025 and tracked by SRG.

  "the average topline recurring revenue multiple for 'books of business' climbed to 3.27x" Source: Succession Resource Group, press release, newswire.com, Feb 5, 2026; checked Oct 5, 2026.

• 2x to 3xMultiple of revenue in Advisor Legacy's practice valuations

  Applies to: Over 400 practice valuations Advisor Legacy completed since January 1, 2020.

  "Compared to previous years, valuations are significantly higher, averaging at $2 million and selling for multiples of 2 to 3 times revenue." Source: Advisor Legacy, advisorlegacy.com, updated Oct 10, 2025; checked Oct 5, 2026.

• 4x to 8xMultiple of annual earnings, including reasonable owner's compensation

  Applies to: Most practices. Context only; not applied to the range.

  "For most practices, the industry standard multiplier is typically 4 to 8 times annual earnings, including reasonable owner's compensation." Source: Succession Resource Group, successionresource.com, May 13, 2025; checked Oct 5, 2026.

• 5x to 9xEBITDA multiple for healthy advisory firms

  Applies to: Healthy advisory firms; premium firms higher. Context only; not applied to the range.

  "For healthy advisory firms, EBITDA multiples often fall in the 5.0x to 9.0x range, with premium firms commanding even higher figures." Source: Advisor Legacy, advisorlegacy.com, updated Jun 25, 2026; checked Oct 5, 2026.

• 9.98xAverage EBITDA multiple for advisory businesses, 2025

  Applies to: Advisory businesses in 171 transactions completed in 2025 and tracked by SRG. Context only; not applied to the range.

  "the average EBITDA multiple for advisory 'businesses' in 2025 rose to 9.98x" Source: Succession Resource Group, press release, newswire.com, Feb 5, 2026; checked Oct 5, 2026.

• 68%Average share of the price paid in cash at closing, 2025

  Applies to: 171 transactions completed in 2025 and tracked by SRG. Context only; not applied to the range.

  "increasing slightly from an average of 63% cash down in 2023, to 65% in 2024, and now 68% in 2025" Source: Succession Resource Group, press release, newswire.com, Feb 5, 2026; checked Oct 5, 2026.

• 78%Average down payment when the buyer used third-party financing, 2025

  Applies to: Deals with third-party financing among the 171 SRG tracked in 2025. Context only; not applied to the range.

  "Buyers using third-party financing had an average down payment of 78%" Source: Succession Resource Group, press release, newswire.com, Feb 5, 2026; checked Oct 5, 2026.

• 5.94 yearsAverage seller note term, 2024, at an average 4.9% interest

  Applies to: The 56.8% of 2024 deals SRG tracked that used seller financing. Context only; not applied to the range.

  "When seller financing was used in 2024, 56.8% of all deals, the average amortization was 5.94 years at 4.9% interest" Source: Succession Resource Group, successionresource.com, Feb 25, 2025; checked Oct 5, 2026.

• 88%Average client retention target in deals with a retention clause

  Applies to: The 52.60% of 2024 deals SRG tracked that included a retention clause. Context only; not applied to the range.

  "The average target retention rate in 2024 was 88.00% of annual gross revenue" Source: Succession Resource Group, successionresource.com, Feb 25, 2025; checked Oct 5, 2026.

• 12 to 24 monthsTypical length of a retention earnout

  Applies to: RIA transactions. Context only; not applied to the range.

  "Retention earnouts compensate sellers for transitioning clients and keeping relationships intact through the transition, typically over 12 to 24 months." Source: Mercer Capital, mercercapital.com, Nov 21, 2025; checked Oct 5, 2026.

• 3 to 4 yearsEarnout periods after closing that are not uncommon now

  Applies to: RIA M&A in 2026. Context only; not applied to the range.

  "In the current RIA M&A market, earnout periods of three to four years after closing are not uncommon" Source: Kitces.com, Richard Chen, kitces.com, Aug 24, 2026; checked Oct 5, 2026.

What the sources say about other factors

• Recurring revenue: Fee-based revenue is worth more than commission revenue

  "Recurring, fee-based revenue is worth significantly more than commission-based income." Source: Succession Resource Group, successionresource.com, May 13, 2025; checked Oct 5, 2026.

• Growth: After predictable revenue, growth matters most to buyers

  "Behind predictability of the revenue stream, there is no more important factor than the growth of a practice from a buyer’s perspective." Source: Succession Resource Group, sample valuation report, successionresource.com, report dated Aug 27, 2021; checked Oct 5, 2026.

• Growth: Each 1% of annual organic growth corresponds to a 7% increase in valuation, by DeVoe & Company's estimate

  "DeVoe reckons a 1% in annual "organic" growth [...] corresponds to a 7% increase in valuation." Source: Financial Planning, reporting DeVoe & Company, financial-planning.com, Jan 23, 2025; checked Oct 5, 2026.

• Revenue per client: Higher revenue per client means higher expected value

  "The greater the revenue per client for example, the greater positive adjustment to the FQ Index and therefore higher expected value." Source: Succession Resource Group, sample valuation report, successionresource.com, report dated Aug 27, 2021; checked Oct 5, 2026.

• Client concentration: Top five clients at 40% or more of revenue is a risk discount for a buyer (40%)

  "If your top five clients represent 40% or more of revenue, that is a risk discount for the buyer." Source: Succession Resource Group, successionresource.com, May 13, 2025; checked Oct 5, 2026.

• Client concentration: The more assets a few clients hold, the higher the risk and the lower the value

  "The more assets held by a small segment of the subject practice, the greater the risk and therefore the lower the value." Source: Succession Resource Group, sample valuation report, successionresource.com, report dated Aug 27, 2021; checked Oct 5, 2026.

• Transition and founder dependence: Most full acquisitions include a transition period with the seller available (12 to 18 months)

  "most full acquisitions still include a transition period of 12 to 18 months where the seller remains available." Source: Succession Resource Group, successionresource.com, May 13, 2025; checked Oct 5, 2026.

• Transition and founder dependence: Buyers pay for a team that runs the business without the founder

  "Buyers pay for clean financials, sustainable organic growth, a team that runs the business without you, and signed agreements, and each of those takes years to build." Source: Succession Resource Group, David Grau Jr. (webinar page), successionresource.com; checked Oct 5, 2026.

• Client ages: An older client base lowers value

  "The older the client base is, the lower the value will be based on the expected long-term decline in revenue and lack of new potential assets." Source: Succession Resource Group, sample valuation report, successionresource.com, report dated Aug 27, 2021; checked Oct 5, 2026.

• Deal terms: All-cash deals are rare and usually come at a sizable discount

  "However, for true cash deals, where 100% of the purchase is paid as a non-refundable cash payment at closing (a rare event in this space), we usually see a sizable discount on the purchase price." Source: FP Transitions, fptransitions.com; checked Oct 5, 2026.

• Deal terms: Reported deal values are often the most the seller could receive, not what is paid at closing

  "the headline deal values we see reported are often based on the maximum possible consideration that the seller is eligible to receive under the terms of the purchase agreement." Source: Mercer Capital, mercercapital.com, Feb 16, 2024; checked Oct 5, 2026.

• Deal terms: A dollar of cash and a dollar of earnout are not worth the same

  "A dollar of cash and a dollar of earnout are not worth the same to you, and often adjust the risk profile substantially." Source: Succession Resource Group, Kristen Grau and Nicole Frey, successionresource.com, Aug 26, 2026; checked Oct 5, 2026.

More on what drives value: what buyers look at.