Upswitch IndexBenelux-native SME multiples with disclosed European market views

Restaurant in France

Q: How do APE codes relate to NACE Rev. 2 for French SME comparables?

APE is the per-establishment code INSEE assigns based on NAF — NAF Rev. 2 shares the four-digit root with NACE Rev. 2 and adds a sub-class letter. The Upswitch Index aggregates at the EU Rev. 2 level; APE sub-classes inherit the parent band. SIRENE provides the canonical APE/NAF assignment per establishment.

Q: Are these published numbers company-specific?

No. They are published market reference points for this business type in the country markets that Upswitch has evidence for. A real valuation still needs company-specific inputs and judgment.

Q: Why do some business types show more than one metric?

Different sectors are often discussed with different market lenses. Upswitch shows the published metrics that are available for this business type.

Q: Can I use this in a client conversation?

Yes. These pages are designed as citation-friendly starting points. For a client-ready report, use the full valuation workflow on Upswitch.

Q: Is this database free to use?

Yes. The Upswitch Index publishes free SME valuation multiples (EV/EBITDA, EV/Revenue, and P/E) by business type. Benelux can be native-local where row evidence supports it; wider European market views are disclosed as beta, borrowed, aggregate, or compatibility coverage. Historical vintages and audit exports are on paid plans.

Q: How does Upswitch Index compare to Damodaran?

Damodaran publishes annual global multiples for listed companies by broad sector — a gold standard for public markets. Upswitch Index publishes granular SME/private-company benchmark ranges by business type with row-level disclosure of whether evidence is native-local, borrowed, aggregate, or beta-stage. Both are useful; they answer different questions.

Q: What is the source methodology behind these multiples?

Upswitch publishes only through row-level benchmark contracts. Evidence can include private-market observations, local filings or statistics, listed-comparable context, and macro calibration anchors, but source labels are used only when they actually contributed to the resolved benchmark. Full methodology is on the methodology page.

Market: France — This page summarizes the published SME benchmark for this business type, including its disclosed market basis, so advisors and operators can cite a clear starting point before a full company-specific valuation.

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Last published: 15 Apr 2026fresh · 56 days old≈ 6 min read

Market context

France market data

Pair the multiples below with Delphi's latest country factors: currency, risk-free rate, macro conditions, statutory tax, and country-risk premium.

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Endpoint

Model-ready data package

Pull this sector's multiples together with country market data in one response. Use JSON for agents and apps, or CSV for Excel models and deal workpapers.

/api/benchmarks/v1/context?business_type_id=restaurant&locale=en&country_code=FR

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Classification

56.10

NACE Rev. 2 primary code. National statistical labels (e.g. SBI, NACE-BEL) describe how each country maps this activity.

Markets

Benelux aggregate

Published benchmark

15 Apr 2026 · reviewed 7 Jun 2026

Indicative, model-derived reference — evidence basis and confidence are disclosed per row.

Delphi-supported market note

Valuing a restaurant in France: fonds de commerce, licence IV and the commercial lease

In France an independent restaurant usually changes hands as a cession de fonds de commerce - the goodwill, equipment, trade name and the all-important commercial lease (droit au bail) sold as one block - rather than as a share deal. That structure, the registration duties attached to it, and whether a transferable licence IV (full spirits licence) is included can move the final price as much as the operating numbers do. Sector practice often cross-checks an earnings view against percentage-of-revenue rules of thumb that the tax administration's barèmes publish for cafés and restaurants. High social charges (around 45%) make staff cost the first diligence line. The EV/EBITDA range here is a pan-European SME indicative prior, not French transaction evidence; France's contribution is how lease quality, licence and deal structure pull a real sale toward the top or bottom of that range.

Most sales are asset deals (cession de fonds de commerce), not share transfers - different tax and registration duties.
A transferable licence IV (spirits licence) is a real, separately valued asset in many deals.
Lease terms - droit au bail, remaining 3/6/9 term, rent level - often dominate price for prime sites.
Administrative barèmes give percentage-of-revenue cross-checks alongside an earnings multiple.
The Dutreil pact can cut transfer tax on family successions, widening the buyer pool.

Evidence basis

Pan-European SME M&A priors (Brookz, Vlerick/Moore, BDO, Marktlink)
FR context: BOFiP barèmes fonds de commerce; Code de commerce (baux commerciaux)
Country macro: Eurostat/OECD, reviewed Apr 2026
Indicative model - not country-transaction-evidenced

Published benchmark ranges

How To Use This Benchmark

Use these ranges as a market reference, not as a substitute for a full valuation. Company quality, growth, concentration, recurring revenue, margin profile, and deal context still matter.

Pair This With The Right Valuation Method

These benchmark pages work best when they feed into a fuller valuation workflow on Upswitch. Start with the market range, then choose the method that fits the company.

EBITDA Multiple Revenue Multiple DCF

Upswitch Index vs Damodaran

Both are useful — they answer different questions. Pick the right reference for the work.

Upswitch Index

Private-market, SME, by business type

Benelux-native where the row proves local evidence
By business type, disclosed market basis, citable vintages
Free to use — no credit card

Damodaran

Listed equities, global, by sector

Public-market companies, annual global cuts
Broad sector buckets, not country-resolved
Free academic resource

Restaurant in France

Market context and regulation — France

Local classification

In France, EU NACE Rev. 2 primary maps to NAF Rev. 2 (Nomenclature d'Activités Française) — the four-digit root is identical to NACE; NAF appends a final letter for sub-classification. The INSEE SIRENE register carries each company's APE code (an NAF subset) on registration.

Official data sources

INSEE SIRENE — French statutory register; free APE / SIREN / SIRET lookup
Greffe / Pappers — commercial annual-accounts retrieval
BPCE / CCI — regional SME M&A statistics and benchmarks

Market and buyer context

France's SME transfer market is regionally heterogeneous, with concentrated activity in Île-de-France (services, head-offices), Auvergne-Rhône-Alpes (industrial), Hauts-de-France (manufacturing) and Provence-Alpes-Côte d'Azur (tourism, services). Buyer pools combine French mid-market PE, regional trade consolidators, and steady inbound interest from Belgian, Dutch, and German strategic buyers. Pricing typically reflects a meaningful tax-and-social-charge wedge versus Anglo-Saxon comparables — buyers price the post-deal labour-cost reality, not just the headline French gross.

Valuation factors in France

Social charges (cotisations) on top of gross salaries can reach 40–45% — verify the all-in labour cost line before normalising EBITDA.
CIR (Crédit Impôt Recherche) and JEI status materially affect after-tax cash flow for tech and R&D-heavy firms.
Statutory profit-sharing (participation, intéressement) is mandatory above thresholds — already in EBITDA, but flag the tier impact post-deal.
Owner-CEO with TNS (travailleur non salarié) status pays under-market managed-comp for tax reasons; normalise carefully.

Regulation and deal structure

Share deals in SAS / SARL require notarial publication; due-diligence cycle 6–8 weeks.
DPI (droit de préemption interne / urbain) can apply on real-estate inside operating entities — split the property line.
Loi Hamon employee-information obligation (in firms < 250 employees on share sale) adds 2-month notification delay — plan timeline.
Pacte Dutreil reduces succession-tax exposure for family transfers — relevant for owner-children deals, not for arm's-length sales.

Hospitality, food service and accommodation

How restaurant actually gets valued

The multiples above are a market anchor — not the valuation. What drives the outcome are sector-typical normalisations, value drivers and risk compressors.

Normalisation checklist

What reported EBITDA almost always distorts in this sector.

Adjust reported labour cost to a market-rate management team — the owner-chef or owner-operator typically takes well below market.
Restate cost of goods at a sector-typical food/beverage cost percentage rather than reported numbers (cash leakage is common).
Strip COVID grant income, energy subsidies and one-off insurance payouts from recurring EBITDA.
Re-classify maintenance capex on equipment that has been deferred — the next owner inherits the spend.
Verify tip handling: tronc systems sometimes hide labour cost.

Value drivers

What typically lifts the multiple in this sector.

Strong location with long-term lease and break-clause protection.
Brand recognition documented through reviews, repeat-customer share and event bookings.
Diversified revenue (lunch + dinner + delivery + private events).
Trained head chef or general manager who is contracted to stay through transition.

Value killers

What compresses the multiple or kills the deal.

Owner-chef where the menu, supplier relationships and team report directly to the founder.
Lease nearing renewal in a heated street/rent market.
Reviews trending downward, especially on staff-attitude axis.
Energy and food-cost compression not passed through to menu pricing.

Anonymised worked example

Illustrative — not a recommendation. Real valuations run through the Upswitch engine.

A 70-cover restaurant reports €1.4M revenue and €185k EBITDA. Normalising the owner-chef to a market-rate head chef (€85k vs €40k drawn) and adding a manager (€55k previously absent), restated EBITDA falls to €105k. Adding back €18k of one-off insurance payout and €12k of deferred kitchen maintenance, sustainable EBITDA is €99k. A sector range of 2.8×–3.8× yields €280k–€376k — well below the headline ratio that an unnormalised €185k × 4× would produce, illustrating why hospitality valuations live or die on labour normalisation.

Frequently Asked Questions

How do APE codes relate to NACE Rev. 2 for French SME comparables?

APE is the per-establishment code INSEE assigns based on NAF — NAF Rev. 2 shares the four-digit root with NACE Rev. 2 and adds a sub-class letter. The Upswitch Index aggregates at the EU Rev. 2 level; APE sub-classes inherit the parent band. SIRENE provides the canonical APE/NAF assignment per establishment.

Are these published numbers company-specific?

No. They are published market reference points for this business type in the country markets that Upswitch has evidence for. A real valuation still needs company-specific inputs and judgment.

Why do some business types show more than one metric?

Different sectors are often discussed with different market lenses. Upswitch shows the published metrics that are available for this business type.

Can I use this in a client conversation?

Yes. These pages are designed as citation-friendly starting points. For a client-ready report, use the full valuation workflow on Upswitch.

Is this database free to use?

Yes. The Upswitch Index publishes free SME valuation multiples (EV/EBITDA, EV/Revenue, and P/E) by business type. Benelux can be native-local where row evidence supports it; wider European market views are disclosed as beta, borrowed, aggregate, or compatibility coverage. Historical vintages and audit exports are on paid plans.

How does Upswitch Index compare to Damodaran?

Damodaran publishes annual global multiples for listed companies by broad sector — a gold standard for public markets. Upswitch Index publishes granular SME/private-company benchmark ranges by business type with row-level disclosure of whether evidence is native-local, borrowed, aggregate, or beta-stage. Both are useful; they answer different questions.

What is the source methodology behind these multiples?

Upswitch publishes only through row-level benchmark contracts. Evidence can include private-market observations, local filings or statistics, listed-comparable context, and macro calibration anchors, but source labels are used only when they actually contributed to the resolved benchmark. Full methodology is on the methodology page.

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Deeper reading

How valuation, normalisation and succession actually work

Three long-form articles on the infrastructure layer beneath European SME succession — selected for this sector.

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