What Are Kitchen Cabinet Businesses Worth in Australia?

What Are Kitchen Cabinet Businesses Worth in Australia?

Richard MatthewsRichard Matthews — Business Broker, Link Business NSW·May 13, 2025·3 min read

Kitchen cabinet manufacturers and retailers in NSW and VIC trade at 2.0× to 3.5× EBITDA. The multiple depends heavily on whether the business is project-based or has a showroom with recurring builder relationships — and whether the owner is the primary designer, estimator, and customer relationship.

What the market is paying

Business typeTypical multipleKey driver
Owner-operated, project-based, no showroom1.5–2.0× EBITDAKey-person risk + no recurring revenue
Showroom, some builder relationships, owner in design2.0–2.5× EBITDALocation value but owner-dependent
Established builder accounts, staff designers, repeat work2.5–3.0× EBITDARecurring B2B revenue + reduced owner dependency
Multi-site or high-volume, builder/developer relationships, systems3.0–3.5× EBITDAScale + recurring revenue + transferable relationships

Builder relationships: the most transferable asset

The most valuable asset in a kitchen cabinet business is not the machinery or the showroom — it is the relationships with builders and developers who provide a steady flow of work. A business that supplies kitchens to five or ten active residential builders on a repeat basis has a recurring revenue stream that a buyer can step into.

The risk is when those relationships are personal to the owner. If the builders are loyal to the owner rather than the business, a buyer will price that risk in. The transition plan — how the owner will introduce the buyer to key builder relationships — is a critical part of the sale process.

The showroom question

A showroom adds value — but only if it is generating leads and converting them. A showroom in a high-traffic location with a strong local reputation is an asset. A showroom in a secondary location with declining foot traffic is a liability. Buyers will assess the lease terms, the location, and the revenue generated through the showroom channel.

Manufacturing vs retail

Businesses that manufacture their own cabinets have a different cost structure and margin profile to those that buy flat-pack and assemble. Manufacturing businesses have higher capital requirements but better margins and more control over quality and lead times. Buyers will assess the equipment, the production capacity, and the skill level of the manufacturing team.

NSW and VIC: the primary markets

Western Sydney (Blacktown, Penrith, Liverpool) and Melbourne's outer suburbs (Dandenong, Frankston, Werribee) are the primary markets for kitchen cabinet business sales, driven by residential construction activity and the density of builder and developer relationships in those corridors.

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