Profitability still matters. But in 2026, most buyers are underwriting something broader: risk, transferability, and upside.
With slower global deal volume and tighter capital, many SME owners are asking: “Will I still get a good price if I sell now?”
In Singapore, we’re still seeing serious appetite for quality assets—especially where the business is owner-independent, financially clear, and built for a smooth handover.
So, Are Valuation Multiples in Singapore Holding Up in 2026?
For many SMEs: yes, if the fundamentals are strong.
What’s changed is not that buyers disappeared. It’s that buyers are more selective and less willing to price in uncertainty.
At the top end, there may be more pricing sensitivity. But good small and mid-sized businesses—especially those with predictable revenue and clean operations—can still attract competitive offers.
What Drives EBITDA Multiples in Singapore
When SME owners ask about EBITDA multiples, they usually want a number.
But in real deal-making, multiples are a consequence of fundamentals. Here are the value drivers we see most often behind premium outcomes.
1. Predictable Revenue
Buyers pay more for businesses where revenue is consistent and predictable.
Some indications of predictability include:
- Retainers and repeat customers
- Long-term contracts and renewals
- Subscription-like revenue (even if informal)
2. Strong Margins and Cost Control
Two businesses can have the same revenue, but wildly different quality of earnings.
Buyers prefer:
- Healthy gross margins
- Documented pricing logic
- Cost discipline and visibility (no “mystery” expenses)
3. Transferability (Low Transition Risk)
If the business relies heavily on the owner, buyers will discount the multiple.
What increases confidence:
- A capable second-in-command (2IC) or management team
- Clear roles and decision rights
- Key relationships not concentrated in the owner
4. Systems and Digital Enablement
“Digital” isn’t a buzzword in due diligence. It’s a proxy for repeatability.
Examples:
- Integrated finance + ops reporting
- Documented SOPs for core workflows
- CRM discipline and pipeline visibility
5. Differentiation (Why You Don’t Get Competed to Zero)
Buyers look for a reason the business wins repeatedly:
- Niche positioning
- Distribution/channel advantages
- Brand trust in a segment
- Proprietary process/product/data advantage
Valuation Multiples by Industry in Singapore
Owners often ask for valuation multiples by industry Singapore, and it’s a fair question.
Sector matters, but it’s usually not the whole story. Within the same industry, multiples move based on:
- Customer concentration risk
- Contract structure and retention
- Working capital needs
- Compliance/regulatory complexity
- Owner dependence
In 2026, industries with clearer demand and repeatability often stay resilient, especially where operations are transferable.
Real Deals We’re Seeing
In 2025, we saw SME deals in Singapore closing in the 2× to 7× EBITDA range depending on sector, size, and transferability.
Businesses under ~SGD $5M revenue often sit in tighter ranges—unless there’s something genuinely strategic (a niche, defensible customer base, or strong operational leverage).
(These are observed market ranges, not guarantees. Every deal prices risk differently.)
What This Means For Your SME valuation in 2026
If you’re planning an exit in the next 12–24 months, the best move is usually not “wait for the perfect market”. It’s to increase attractiveness as well as exit readiness.
Here’s a practical 90–180 day value-build sprint:
Get your numbers buyer-ready
- 3 years’ worth of clean and tidy financials (profit & loss, balance sheets, last 12 months’ management accounts)
- Clear separation of personal vs business expenses
- Be able to explain your real profit simply (what’s recurring vs one-off, what a buyer wouldn’t need to pay for)
Make the business less dependent on you
- Build/strengthen a 2IC or management team
- Document decision rights and how the business is run day to day
Make revenue more predictable
- Lock in repeat customers and renewals where possible
- Standardise how work is delivered so results don’t rely on individuals
- Document SOPs/key processes so the business runs the same way every time
Use an advisor when you’re serious
A strong deal advisor doesn’t just “put your business on the market”. They help you:
- Tell the right story to the right type of buyer
- Improve price and terms
- Avoid delays and headaches during due diligence
- Protect your leverage so you don’t negotiate from a weak position
Explore 2026 Valuation Multiples With The Maven Co.
In 2026, valuation multiples in Singapore are still holding up for strong SMEs, but the bar is higher. Buyers are paying for businesses that feel low-risk to transition, easy to understand financially, and built to keep performing without the founder in the centre of everything.
If you focus on reducing uncertainty (clean numbers, predictable revenue, documented operations, and a team that can run the machine), you don’t just improve your chances of selling. You improve the multiple you can credibly defend.
If you want a grounded view of business valuation in Singapore and beyond, and what multiple your fundamentals can support, contact us now out for a confidential, no-obligation valuation review now.
