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Buying a business: Arizona vs California

Two markets side by side — inventory, pricing, and what you actually pay per dollar of cash flow, from live Waterfall data.

Arizona

1,184 active listings
Active listings1,184
Median asking$300,000 Edge
Median cash flow$175,244
Typical multiple1.7×
Owner-earnings yield~58%
Median revenue$645,302
VS

California

6,340 active listings
Active listings6,340 Edge
Median asking$345,000
Median cash flow$178,627 Edge
Typical multiple1.9×
Owner-earnings yield~52%
Median revenue$750,000

Who wins?

California has 435% more businesses on the market than Arizona (6,340 vs 1,184). Arizona is cheaper at the median asking price. Arizona trades at a lower multiple (1.7× vs 1.9×), meaning you pay less per dollar of cash flow there.

MetricArizonaCalifornia
Active listings1,1846,340
Median asking$300,000$345,000
Median cash flow$175,244$178,627
Typical multiple1.7×1.9×
Owner-earnings yield~58%~52%
Median revenue$645,302$750,000
Related comparisons

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