Collection Agency Valuation
Collection Agency Business Valuation Calculator & Exit Planning Built for Collection Company Owners
We built one platform that tracks your collection agency's value monthly, identifies exit gaps early, and ensures your personal finances align with your exit timeline.
1,000+ Businesses have joined YourExitValue.com
Most Collection Agency Owners Have No Idea What Their Business is Actually Worth
Current Collection Agency Valuation Multiples (2026)
Collection agency valuations depend on compliance, client base, and collection performance. Here's the market:
Every business is different. That's why you need to track your value.
Included in Your Exit Value is a complete Exit Planning Assessment where you track your progress quarterly against your results from the previous quarter.
Know your number and watch it grow
Most business owners guess at their value. You'll know it with precision.
Our platform uses six proven valuation methodologies to give you a complete picture of what your business is worth today—and tracks how that number changes month over month. No more waiting for annual appraisals or paying $15K+ for outdated reports.
See your trends. Spot opportunities. Make informed decisions
What Actually Drives Collection Agency Value
Your collection results matter, but sophisticated buyers evaluate these factors that determine premium pricing:
Compliance History
Clean CFPB, State, TCPA Record
Collections faces intense regulatory scrutiny—FDCPA, CFPB regulations, state licensing, TCPA requirements. Clean compliance history with no lawsuits, regulatory actions, or consent orders is essential. Compliance issues create deal risk that buyers avoid.
Compliance problems = deal killer
Client Relationships
Long-Term, Diversified Clients
Who places accounts with you and how long have they been clients? Long-term client relationships demonstrate service quality and competitive positioning. Diversified clients across healthcare, financial services, and other verticals provide stability.
Concentrated = dependency risk
Liquidation Performance
Strong Collection Rates
What percentage of placed accounts do you collect? Liquidation rates indicate operational effectiveness. Strong collection performance justifies client relationships and pricing. Track performance by client and account type.
Poor performance = client risk
Technology Platform
Modern Collection Software
Collection technology affects productivity and compliance. Modern platforms with dialer integration, compliance tools, and reporting capabilities enable efficient operations. Legacy systems may limit scalability.
Dated systems = efficiency gap
Industry Focus
Healthcare, Financial Services, Commercial
Different industries have different collection dynamics and regulations. Healthcare collections face unique compliance requirements. Understanding your industry focus helps position for relevant acquirers.
No focus = generalist positioning
Staff & Training
Trained, Compliant Collectors
Trained collectors who understand compliance requirements are your operational capacity. Documentation of training and monitoring demonstrates proper oversight. Staff quality affects both performance and compliance.
Untrained staff = compliance risk
How to Value a Collection Agency
The U.S. debt collection industry includes approximately 7,000 agencies generating over $20 billion in annual revenue. Collection agencies recover outstanding debts on behalf of creditors across healthcare, financial services, utilities, and commercial sectors.
EBITDA or SDE is used depending on agency size. Collection agencies typically sell for 2.5x to 5.0x EBITDA, or 2.0x to 3.5x SDE. Agencies with diversified client bases, strong compliance records, and high recovery rates command the highest multiples.
Revenue multiples generally range from 0.40x to 0.80x annual revenue. Agencies with healthcare and financial services clients and clean regulatory records achieve the upper end.
The unique valuation factor for collection agencies is the compliance record and client portfolio. The collection industry is heavily regulated by the CFPB, FTC, and state attorneys general. Agencies with clean regulatory histories, RMAI or ACA certification, documented compliance management systems, and no pending enforcement actions are significantly more valuable than those with compliance concerns. Healthcare collections expertise (including HIPAA compliance) commands premium client relationships. The shift from contingency to purchased debt portfolios creates different risk/return profiles that affect valuation approaches.
Collection agency M&A has been steady, with compliance-focused operators acquiring agencies that meet increasingly stringent regulatory standards. Use our free calculator above to get your instant estimate, then track your value monthly with YourExitValue.
Frequently Asked Questions
What multiple do collection agencies sell for?
Collection agencies typically sell for 3.0x – 6.0x SDE or 5x – 10x EBITDA. Agencies with clean compliance, long-term clients, and strong performance command premium multiples.
How does compliance history affect collection agency value?
Critically. Clean compliance is essential. Regulatory actions, lawsuits, or consent orders create deal risk that buyers avoid entirely.
Who buys collection agencies?
Larger collection companies, RCM companies adding collections, PE-backed collection platforms, and strategic buyers seeking specific industry expertise.
Does industry focus affect value?
Yes. Different industries have different dynamics. Healthcare collections require specific expertise. Focus positions you for relevant acquirers.
How important is technology platform?
Important. Modern platforms enable productivity and compliance. Legacy systems may limit scalability and competitive positioning.
What's the fastest way to increase my collection agency value?
Three high-impact moves: 1) Maintain impeccable compliance documentation, 2) Upgrade technology platform, 3) Diversify and strengthen client relationships.