Healthcare & Medical Practices Valuation Multiples (2026)
Practices trade on provider retention, private-pay mix, and clean payer contracts. Associate-driven models with enforceable non-competes clear higher EBITDA multiples than owner-clinician practices.
Healthcare vs peer EV/EBITDA comps (2026)
Bars = median multiple; whiskers = published low–high range. Source: ExitVelocity lower middle-market benchmarks · Q3 2026.
Example: Multi-provider outpatient clinic
Outpatient specialty clinic, $3.6M revenue, 2 associate providers + retiring owner-MD, 40% private pay / cash-pay mix, modern lease.
At $720K EBITDA, a 5.8x healthcare median implies ~$4.18M EV. Associate coverage and non-competes support the mid-to-high band; if the retiring MD still produces most visits, expect closer to 4.8x until transition risk clears.
- • Associate-driven production
- • Private-pay mix
- • Enforceable non-competes
- • Owner-MD produces >50% of visits
- • Payer concentration / reimb. cuts
Illustrative only — not a formal appraisal. Re-run with your financials in the free AI valuation calculator.
What moves healthcare multiples
Private pay percentage, provider non-competes, modern facility leases.
Use these benchmarks with an AI valuation that adjusts for margin profile, growth, and owner dependency — not a flat industry average alone.
Frequently asked questions
What is the typical Healthcare EBITDA multiple in 2026?
Healthcare & Medical Practices trades at a median of 5.8x EV/EBITDA (range 4.8x – 7.0x) in the lower middle market, based on ExitVelocity’s 2026 deal benchmarks.
What SDE multiple do Healthcare businesses sell for?
Owner-operated healthcare companies typically clear a median 3.5x SDE multiple (range 3.0x – 4.0x), depending on recurring revenue quality and owner dependency.
What drives premium Healthcare valuations?
Private pay percentage, provider non-competes, modern facility leases.
Example: what is a Healthcare business with $720,000 EBITDA worth?
Using 2026 healthcare multiples, $720,000 EBITDA × 5.8x median ≈ $4,176,000 enterprise value (range roughly $3,456,000–$5,040,000 at 4.8x–7x). At $720K EBITDA, a 5.8x healthcare median implies ~$4.18M EV. Associate coverage and non-competes support the mid-to-high band; if the retiring MD still produces most visits, expect closer to 4.8x until transition risk clears.
Related industry multiples
Also see: 2026 example business valuations · SDE vs EBITDA · How AI business valuation works