EPISODE · Jun 19, 2026 · 7 MIN
How a Dog Grooming Business Sold at 14x EBITDA with 5 Recurring Revenue Streams
from The Buyer & Seller Podcast with Fexingo: Business Brokers, Exits, and Private Sales Explained · host Fexingo
In this episode, Lucas and Luna break down how a single-location dog grooming business in Austin, Texas, sold for 14 times EBITDA by building five distinct recurring revenue streams: membership plans, prepaid bath packages, retail subscriptions, daycare memberships, and a mobile grooming route. They walk through the specific numbers: how the owner shifted from 80 percent one-time customers to 60 percent recurring revenue in 18 months, how each stream contributed to EBITDA stability, and why buyers paid a multiple normally reserved for SaaS companies. The episode dives into the operational changes required, the upfront revenue hit during transition, and the negotiation tactics that let the owner keep a two-year earn-out on the mobile unit. Lucas and Luna also discuss the broader lesson: in low-tech service businesses, recurring revenue isn't about software—it's about behavior design and pricing architecture. This is a practical playbook for any small business owner thinking about exit strategy. #DogGrooming #RecurringRevenue #EBITDA #BusinessExit #SmallBusinessSale #MembershipModel #PricingStrategy #EarnOut #AustinTx #ServiceBusiness #BusinessBroker #RevenueStreams #BusinessValuation #ExitPlanning #MergersAndAcquisitions #Business #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo
What this episode covers
In this episode, Lucas and Luna break down how a single-location dog grooming business in Austin, Texas, sold for 14 times EBITDA by building five distinct recurring revenue streams: membership plans, prepaid bath packages, retail subscriptions, daycare memberships, and a mobile grooming route. They walk through the specific numbers: how the owner shifted from 80 percent one-time customers to 60 percent recurring revenue in 18 months, how each stream contributed to EBITDA stability, and why buyers paid a multiple normally reserved for SaaS companies. The episode dives into the operational changes required, the upfront revenue hit during transition, and the negotiation tactics that let the owner keep a two-year earn-out on the mobile unit. Lucas and Luna also discuss the broader lesson: in low-tech service businesses, recurring revenue isn't about software—it's about behavior design and pricing architecture. This is a practical playbook for any small business owner thinking about exit strategy. #DogGrooming #RecurringRevenue #EBITDA #BusinessExit #SmallBusinessSale #MembershipModel #PricingStrategy #EarnOut #AustinTx #ServiceBusiness #BusinessBroker #RevenueStreams #BusinessValuation #ExitPlanning #MergersAndAcquisitions #Business #FexingoBusiness #BusinessPodcast Keep every episode free: buymeacoffee.com/fexingo
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How a Dog Grooming Business Sold at 14x EBITDA with 5 Recurring Revenue Streams
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