How much does a Commercial Kitchen Equipment Repair cost to buy?

A typical Commercial Kitchen Equipment Repair sells for 2.5x to 4x annual revenue. With average revenue of $900K, expect to pay $2.3M to $3.6M.

How much does it cost to start a Commercial Kitchen Equipment Repair?

Startup costs range from $20K to $80K depending on location, equipment, and scale.

Service

Commercial Kitchen Equipment Repair

Q: What are the profit margins for a Commercial Kitchen Equipment Repair?

The average profit margin for a Commercial Kitchen Equipment Repair is around 28%. Labor (certified techs) is the primary cost at 40–50% of revenue. Parts markup (100–200% over cost) is a major profit driver. Vehicles and tools run 10–15%. Established operators with PM contracts report EBITDA margins of 20–30%.

Restaurants can't afford downtime. You fix that.

Commercial kitchen equipment repair technicians service the fryers, ovens, walk-in coolers, dishwashers, and ice machines that every restaurant depends on. When equipment breaks, restaurants lose money by the hour — making this an emergency service with premium pricing power. A real acquisition: PGM Service in Tampa sold for $1.64M on $2.6M revenue and $500K+ SDE — a 3x multiple on a recession-proof business.

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Avg Revenue

$900K

Profit Margin

28%

Acquisition Multiple

2.5x - 4x

Startup Cost

$20K - $80K

Difficulty

3/5

How It Works

Technicians hold factory certifications from equipment brands (Hobart, Vulcan, Manitowoc, etc.) and respond to emergency repair calls or scheduled preventive maintenance visits. Emergency calls command premium rates ($150–$250/hour plus parts). Preventive maintenance contracts with restaurant chains provide recurring monthly income. The business scales by adding technicians and expanding into new restaurant accounts.

Revenue Range

Low End

$400K

Typical

$900K

High End

$3.0M

Pros

+Emergency pricing power — restaurants pay premium to get back online fast
+Manufacturer certifications create defensible competitive moats
+Recurring revenue through preventive maintenance (PM) contracts
+Restaurant industry is massive and always needs equipment serviced
+SBA 7(a) financing readily available for acquisitions

Cons

-Requires technical training and manufacturer certifications
-Skilled technicians are hard to find and retain
-Parts procurement can be slow and tie up working capital
-On-call emergency culture can be demanding on staff

Best For

Former restaurant equipment techs going independent; searchers with mechanical aptitude looking for a B2B service business with SBA financing potential

Operating Costs

Labor (certified techs) is the primary cost at 40–50% of revenue. Parts markup (100–200% over cost) is a major profit driver. Vehicles and tools run 10–15%. Established operators with PM contracts report EBITDA margins of 20–30%.