What’s Your Jewellery Business Worth? A Realistic Look at Valuation in 2025

For many jewellery store owners, the business is more than just a livelihood—it’s a legacy. Whether you’ve built a name over decades or revitalised a suburban boutique, the question eventually comes: What is my jewellery store really worth?

In this article, we unpack how suburban and independent jewellery businesses are valued in the Australian market, and what drives buyers to pay more—or walk away.

The Reality of Retail: Jewellery vs General Stores

Jewellery is a unique niche in retail. Unlike clothing or homewares, it blends craftsmanship, emotional attachment, and significant discretionary spend. It’s also more defensible—many clients return for anniversaries, engagement upgrades, or custom work, creating recurring revenue that a t-shirt shop can’t replicate.

Buyers notice this. While most suburban retail stores transact at 1.8×–2.3× Seller’s Discretionary Earnings (SDE), established jewellery businesses can achieve 2.5×–3.5× EBITDA, depending on size and structure.

How Do Valuers Price a Jewellery Business for Valuation?

Here’s what the market really looks at:

1. Profit Type: SDE vs EBITDA

• SDE (for owner-operators earning <$500k/year): This includes your wage + profit.

• EBITDA (for more structured businesses): Used when you have management in place or net profit >$500k.

2. Track Record

• A 10+ year-old jewellery store with steady financials is gold.

• Buyers favour businesses with a strong repeat client base and consistent margins.

3. Gross Margin & Inventory Management

• Are your markups healthy (e.g. 60–70%)?

• Is inventory turning over, or is capital locked in slow-moving stock?

4. Lease Terms & Location

• Long lease? Tick.

• Low rent as % of revenue? Tick.

• Mall kiosk on a short-term lease? Expect a discount.

5. Digital Presence

• 25k+ Instagram followers? Great—but only if it drives actual sales.

• Buyers now look at your online reviews, website traffic, and e-commerce capability.

Common Multipliers—and When They Fall Flat

Business Profile	Typical Multiple
New suburban store, <$250k SDE	1.8×–2.0× SDE
Well-run boutique, $300–500k profit	2.2×–2.8× EBITDA
Established with brand equity + team	3.0×–3.5× EBITDA
Jewellery chain with $1m+ EBITDA	4.0×+ (tiered buyer pool)

But beware: multiples are capped quickly if red flags appear—like short leases, declining sales, or untraceable inventory.

What Buyers Want in 2025: The 4 C's

We call them the 4 C’s of Buyer Readiness:

1. Conviction – They believe in the category and want to run a business, not just buy one.

2. Credibility – They have some background in retail or managing people.

3. Capacity – They have time to learn and run the operation.

4. Cash – They can fund a deposit and working capital (most Aussie banks won’t lend fully for retail).

Miss one of those? The buyer drops off before settlement.

Final Thoughts

If you’re thinking about a future sale, don’t wait until you’re burned out or ready to retire. The best exits take 6–12 months to prepare—and that’s not counting the sale process itself.

Start by:

• Cleaning up your books (3 years of clear P&Ls, BAS, wages)

• Reviewing your lease and landlord relationship

• Documenting how you order, price, and sell (systems = value)

Bottom line? Jewellery businesses can command premium valuations—but only when they’re run like investment-ready assets, not passion projects. With the right preparation, your store could be worth far more than you think.