Q1 2026 Landscaping Business Valuation Levels Update

The landscaping industry continues to present both opportunities and challenges for business owners seeking to understand their company's market value. As we progress through 2026, evolving economic conditions, shifting buyer priorities, and operational dynamics are reshaping valuation landscapes across the sector.

This quarterly market update (Q1 of 2026) examines key valuation trends, transaction patterns, and operational factors influencing landscaping business values through the first quarter of 2026. Our analysis draws from proprietary market intelligence, transaction data, and operational benchmarks gathered through Singleton Valuations.

Historical Context: Where Landscaping Multiples Have Settled

Over the last few years, valuation levels for landscaping companies have generally fallen between 2x to 7x EBITDA and 1.5x to 4x Seller's Discretionary Earnings (SDE).

Breaking that down by size:

Smaller companies have typically transacted at 2x to 5x EBITDA and 1.5x to 3x SDE.

Larger companies have come in around 3x to 7x EBITDA and 2.5x to 4x SDE.

The question we consistently receive from business owners is: why the spread, even for businesses that are the exact same size? The answer lies in the qualitative components of the business. If you are interested in learning more about those let us know here on our landscaping valuations resource page and we will send you our resource assessment that helps identify those in your own business and how it may impact your value.

Q1 2026 Transaction Activity: A Softer Start to the Year

Overall, Q1 2026 was a significantly lighter quarter in terms of transaction volume compared to Q1 2025.

This pattern was consistent with the softening we observed in the lending markets toward the end of 2025. Overall SBA transaction volume in the landscaping space declined in Q4 2025 compared to Q4 2024, so it was not surprising that 2026 opened with a soft market and lower transaction count carrying that trend forward.

What the Multiples Are Telling Us

Of the completed transactions we are tracking, we observed a wider spread on SDE multiples and a tighter range on EBITDA multiples. In this environment, that pattern generally points to one conclusion: more smaller companies are transacting, while larger companies are sitting on the sidelines waiting for a more favorable market.

Operations Outlook: What the SV Indexes Are Showing

At Singleton Valuations, we track multiple data sets that feed into three proprietary indexes:

SV Landscaping Demand Index

SV Landscaping Input Cost Index

SV Landscaping Labor Index

Here is what each is telling us heading into the rest of 2026.

SV Landscaping Demand Index

Coming out of the winter months demand has been split in regards to the snow removal lines of business. The Northeast experienced record snowfall, which contributed to persistent demand for snow removal work. Meanwhile, record high temperatures across Western region states decimated snow removal revenue for operators in those markets.

To put a number on it: BrightView reported a 110% increase in snow removal year-over-year comparisons but as one of the largest national operators, their number masks how spotty those pockets of demand have actually been for most regional operators.

Heading into the significant real estate months, we are observing a soft market in new residential construction along with repair-and-upgrade landscaping demand. This is generally tied to interest rates and the residential market broadly, so as those markets perform, so goes landscaping demand in those service lines.

The bright spot: maintenance and recurring-revenue work remains stable across both residential and commercial markets.

The most significant takeaway for business owners: we anticipate increased buyer focus on businesses with recurring contracts. This will be a priority in due diligence processes. By contrast, businesses more dependent on project-oriented work are going to face moderate headwinds for the remainder of 2026. Expect that narrative to be front and center in buyer conversations this year.

SV Landscaping Input Cost Index

Heading into the busy season, the biggest focus is oil prices. As of this writing, a ceasefire has been announced in the Iran conflict. If that holds, prices should come down; if the conflict continues, we anticipate elevated oil prices as a meaningful headwind — especially for operators who have not optimized route density.

The other consistent headwind in our cost index is freight and logistics, where major suppliers and distributors are absorbing rising costs across their supply chains. Large suppliers have already signaled they will be passing those costs along in the first half of 2026, so prepare for that.

One area of margin relief: private label pricing from suppliers. If you have not reviewed your suppliers' private-label offerings recently, it is worth examining — there is real cost relief available there right now.

If there is one takeaway from the cost side of the equation, it is this: contract structure will be a major valuation driver in 2026, on both residential and commercial work.

Buyers are acutely aware of the inflationary environment. They are going to examine closely whether your margins are locked in at current prices or whether your contract language allows you to pass increased supplier costs through to your customers. Contracts with those accelerator clauses do a lot of the favorable lifting in this type of environment.

Always consult with your legal counsel but if your contracts can absorb rising input costs, buyers will reward that capability.

SV Landscaping Labor Index

On the labor side, we are observing lower overall turnover, which is consistent with the broader job market. Fewer landscaping companies are hiring, but fewer employees are leaving their employers either.

On the visa front, March 10, 2026 was the final receipt date for new cap-subject H-2B worker petitions, and the 33,000 cap for the second half of 2026 has already been reached. Overall, we expect the labor market to remain tight, but with less acute supply stress on operators than we observed last year or a few years ago — employees are not chasing new opportunities at the same pace.

Companies that are less reliant on seasonal workers are likely to see a slight premium compared to their peers in this environment. Permanent employees with long tenure signal durability in the organizational chart. That durability reduces the acquirer's concern about having to rebuild a staff or rebuild the team post-close, and it shows up in value.

Summary: Q1 2026 Landscaping Valuation Themes

Here is where landscaping valuations stand for Q1 2026:

Deal volume is softer, particularly at the larger end of the market.

Recurring-revenue businesses are commanding buyer attention over project-driven ones.

Contract structure with cost pass-through language is increasingly a value driver.

Labor durability and low seasonal-worker reliance can earn a premium.

Singleton Valuations specializes in CVA certified business valuations for landscaping business owners, along with strategic value enhancement advisory services. We are proud members of the National Association of Landscape Professionals and maintain deep sector expertise across all segments of the landscaping industry.