The solar and battery installation sector in NSW and QLD has grown rapidly — but not all businesses in the sector are equally valuable. The multiple range is wide: 2.5× to 4.5× EBITDA for well-structured businesses, with owner-operated installation businesses at the lower end and those with recurring maintenance contracts and commercial capability at the upper end.
What the market is paying
| Business type | Typical multiple | Key driver |
|---|---|---|
| Residential installer, no recurring revenue, owner-operated | 1.5–2.0× EBITDA | Project-based, no recurring income |
| Residential + commercial, small team, some maintenance work | 2.0–2.5× EBITDA | Scale building but still project-dependent |
| Commercial focus, maintenance contracts, accredited installer | 2.5–3.5× EBITDA | Recurring revenue + commercial relationships |
| Commercial + battery storage, O&M contracts, systems capability | 3.5–4.5× EBITDA | Recurring O&M revenue + growth sector premium |
Recurring revenue: the difference between a job and a business
A solar installation business that only installs systems has no recurring revenue. Every month starts at zero. A business that has signed ongoing operations and maintenance (O&M) contracts with commercial or industrial clients has a recurring revenue base that a buyer can underwrite.
The shift from pure installation to installation plus O&M is the single most value-accretive thing a solar business owner can do before going to market. Even a modest O&M book — say $200,000 in annual recurring contracts — changes the conversation with buyers significantly.
Accreditation and installer capacity
Clean Energy Council (CEC) accreditation is the baseline requirement. Buyers will also look at the number of accredited installers on staff — a business where the owner is the only accredited installer is a key-person risk that buyers price in. Having two or three accredited installers on staff, with the owner in a management role, is the target structure for a premium sale.
The battery storage opportunity
Battery storage capability — particularly for commercial and industrial applications — is increasingly attractive to buyers. The market is growing, the margins are better than residential solar, and the O&M revenue from battery systems is recurring and predictable. Businesses that have built genuine battery storage capability, not just bolted on a few residential batteries, are attracting premium interest.
NSW and QLD: the primary markets
NSW (Western Sydney, Central Coast, Hunter Valley) and QLD (South East Queensland, Sunshine Coast) are the primary markets for solar business sales. Government incentive programs, high electricity prices, and strong commercial construction activity drive demand in both states.
