Tire Shop Business Valuation
Tire Shop Valuation Calculator & Exit Planning Built for Auto Service Owners
We built one platform that tracks your tire shop'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 Tire Shop Owners Have No Idea What Their Business is Actually Worth
Current Tire Shop Valuation Multiples (2026)
Tire shop valuations depend on service mix, commercial accounts, and brand relationships. 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 No more waiting for annual appraisals or paying $15K+ for outdated reports.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 Tire Shop Value
Tire sales volume is the baseline, but sophisticated buyers dig into these factors that determine premium pricing:
Commercial Accounts
30%+ Fleet/Commercial
Fleet accounts are the golden ticket in tire retail. Local trucking companies, delivery services, municipalities, corporate fleets—these customers buy tires on schedule, not when they feel like it. They provide predictable, recurring revenue that doesn't depend on retail walk-ins. A shop with 30%+ commercial revenue demonstrates stability that buyers reward with higher multiples.
Retail-only = walk-in dependent
Service Mix
Tires + Mechanical Service
Tire-only shops hit a ceiling. Smart operators add alignments (high-margin, drives tire sales), brakes (customers already there), oil changes (retention driver), and basic mechanical work. Each service gives customers another reason to return and increases revenue per visit. Buyers value diversified revenue—it shows you've built a real auto service business, not just a tire warehouse.
Tires-only = single revenue stream
Dealer Programs
Major Brand Dealer
Being an authorized dealer for Goodyear, Michelin, Bridgestone, or other major brands provides real advantages: marketing support, better inventory terms, co-op advertising, and instant credibility with customers. It signals to buyers that you're a professional operation, not a discount installer buying closeouts. Brand relationships often transfer to new owners, making your business more attractive.
No brand affiliation = commodity player
Location Quality
High Visibility + Bay Count
In tire retail, location matters enormously. High-traffic visibility, easy access (can customers pull in easily?), adequate bay count, and room for tire inventory all impact your volume potential. Constrained facilities limit growth regardless of how good your service is. Buyers assess whether the location can support their expansion plans—if you're landlocked, expect a discount.
Poor location = capacity ceiling
Tech Retention
Certified Techs Retained
Finding good tire techs is harder than it sounds. Trained technicians who stay—especially those with ASE certifications or manufacturer training—reduce buyer concern about post-sale service quality. High turnover signals management issues, training costs, and potential quality problems. Document your team's tenure and certifications—it's a selling point many owners overlook.
Owner-only work = key person risk
Owner Role
Management & Sales
If you're still in the bays mounting tires and doing alignments, you're earning a wage, not building equity. The highest-value tire shop owners transition to customer relationships, fleet sales, and business management. When you can spend a week at a tire industry conference without the shop falling apart, you've built something transferable. That transition is worth real money at sale time.
Owner in bay = wage earner
How to Value a Tire Shop
The U.S. tire retail and service industry includes over 40,000 locations generating approximately $45 billion in annual revenue. Tire shops range from single-location independents to multi-bay service centers offering tires plus automotive maintenance.
Seller's Discretionary Earnings (SDE) is the standard valuation method. Tire shops typically sell for 1.5x to 3.0x SDE. Shops with multiple service bays, alignment equipment, strong brand tire dealerships, and diversified automotive service capabilities command the higher end.
Revenue multiples generally range from 0.20x to 0.45x annual revenue. Shops with fleet accounts and commercial tire service capabilities achieve the upper end.
The unique valuation factor for tire shops is the fleet account base and dealership agreements. Commercial fleet accounts — servicing delivery vehicles, construction equipment, municipal fleets — provide recurring revenue and higher-margin commercial tire sales. Authorized dealership relationships with major tire manufacturers (Goodyear, Bridgestone, Michelin, Continental) provide branding, marketing support, and preferential pricing. Shops that have expanded into alignment, brakes, suspension, and general maintenance capture more revenue per customer visit and reduce dependence on commodity tire pricing.
The tire retail industry has consolidated through chains like Discount Tire, Tire Kingdom, and Big O Tires, while strong independents with fleet relationships maintain premium valuations. Use our free calculator above to get your instant estimate, then track your value monthly with YourExitValue.
Frequently Asked Questions
What multiple do tire shops sell for?
Most tire shops sell for 2.0x – 3.2x SDE. Shops with strong commercial fleet accounts, mechanical service capabilities, and major brand dealer status command the higher end.
How do fleet accounts affect tire shop value?
Significantly. Fleet accounts provide predictable, recurring revenue that transfers to new owners. A shop with 30%+ commercial revenue will sell for notably higher multiples than one dependent on walk-in retail.
Should I add mechanical services before selling?
If you have the bays and can find techs, yes. Alignments, brakes, and basic mechanical work increase revenue per customer and provide more reasons for customers to return. Buyers value the diversification.
Does brand dealer status affect my valuation?
Yes. Being an authorized dealer for major tire brands provides marketing support, better inventory terms, and instant credibility. It signals to buyers that you're a professional operation.
Who buys tire shops?
National and regional tire chains looking to expand, automotive service consolidators, individual buyers seeking established businesses, and occasionally PE-backed platforms building regional footprints.
What's the fastest way to increase my tire shop value?
Three high-impact moves: 1) Land 2-3 fleet accounts for commercial revenue, 2) Add alignments and mechanical services if you haven't, 3) Get out of the bays and focus on customer relationships and fleet sales.
