Pillar
Valuation & Deals
A/E/LS firm valuations typically run 5x to 7x EBITDA, with engineering firms earning higher multiples than surveying-only practices and firms with strong recurring client relationships outperforming those with project-based revenue. The valuation determines how much the bank will lend, what the buyer needs to put down, and what the seller takes home at closing. ESOPs only make economic sense above roughly $15 million in revenue because the setup and administrative costs consume too much of the value below that threshold. For most A/E/LS owners, the right path is a structured SBA-financed sale, where the valuation drives the loan amount and the seller gets cash rather than a note.
Valuation & Deals
The Hidden Value Drivers in an A/E Firm, and How to Build Them Before You Sell
The biggest hidden driver of your A/E firm's value is how much it depends on you. Reduce owner reliance and build these value drivers before you sell.
Valuation & Deals
What Is Your Engineering Firm Actually Worth?
A plain-language guide to valuing an engineering or architecture firm: the cash flow that drives value, the rule-of-thumb multiples, and why banks care.
Valuation & Deals
EBITDA Multiples for A/E Firms: What Your Firm Is Actually Worth in 2026
A/E firm EBITDA multiples run 5x to 7x, with smaller firms valued on 2x to 4x SDE. Learn what moves your multiple higher and how SBA buyouts pay cash at closing.
Valuation & Deals
How to Value Your A/E/LS Firm for a 3-4 Year Exit
A/E firm valuations typically run 5x to 7x EBITDA, or 2x to 4x SDE for smaller firms. Learn the key drivers that determine your firm's worth before you sell.