From http://rulesofthumb.org/ I find the following rules of thumb with regard to the setting the sales price of a business:

• The sale price of a small business is between seven and ten times the average profit of the last three years.
• A beauty salon will sell for 0.25 to 0.75 times its gross income, plus equipment and inventory.
• In the ’90s we’d figure that a gas station would sell for $1.25 to $2 per gallon pumped per month.
• A grocery store will sell for 0.25 to 0.33 times its gross income, plus inventory.
• An insurance agency will sell for one to two times its annual renewal commissions.
• A manufacturing company will sell for 1.5 to 2.5 times its net income, including equipment, plus inventory.
• A newspaper will sell for 0.75 to 1.25 times its gross income, including equipment.
• A restaurant will sell for 0.25 to 0.5 times its gross income.
• A retail business will sell for 0.75 to 1.5 times its net, plus equipment and inventory.
• A travel agency will sell for 0.04 to 0.1 times its gross income.

From time to time, I will address valuation rules of thumb. Rather than quickly dismiss them for lack of specificity and gross simplicity, I will pause to consider the theoretical integrity and practical acceptability of certain valuation rules of thumb. Who knows? Some may actually be sufficiently reliable.