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MSP M&A · 2 min read

What is my MSP worth? A practical guide for UK owner-founders

The short answer

Your MSP is worth what the right buyer will pay for the cash it reliably produces, and for how safely that cash transfers to them. Two MSPs with the same profit can be valued very differently. This guide explains why, and what you can change.

  • £6m EBITDA
  • 10 signed acquirers
  • 20+ live MSP exit discussions

How buyers value an MSP

Most buyers start from sustainable profit (usually adjusted EBITDA) and apply a multiple. The multiple reflects risk and growth: the lower the risk and the clearer the growth, the higher it goes. There's no fixed "MSP multiple"; it moves with the market, the buyer and your business.

The seven things that move your value

Seven drivers around your MSP's value: recurring revenue, contract quality, customer concentration, gross margin, owner dependence, clean numbers and growth story.Yourvalue1Recurring revenue2Contract quality3Customer concentration4Gross margin5Owner dependence6Clean numbers7Growth story
  1. Recurring revenue. Contracted monthly income is worth far more than project or resale income. Know your share of recurring revenue and its trend.
  2. Contract quality. Term length, renewal history, notice periods and price-review clauses.
  3. Customer concentration. If one client is a large slice of revenue, buyers see risk.
  4. Gross margin and supplier economics. Buyers look at margin by service line and how well your supplier terms are managed.
  5. Owner dependence. If sales, key relationships or technical knowledge sit with you, value drops. A second line of leadership raises it.
  6. Clean numbers. Monthly management accounts, clear add-backs and a tidy data room shorten diligence and protect the price.
  7. Growth story. A pipeline you can evidence and a plan a buyer believes in.

What to do in the next 12–24 months

  • Move project and break-fix clients onto managed contracts.
  • Review supplier terms and pricing.
  • Build a leadership layer so the business runs without you day to day.
  • Get your accounts, contracts and HR records diligence-ready.
  • Put a sales engine in place so growth doesn't depend on referrals.

Common value-killers

Undocumented contracts; one large customer; owner-only sales; messy add-backs; surprise liabilities found in diligence; a rushed process with one bidder.

How AiGoGo helps

We've sat on both sides of the table. We work with owner-founders with up to £6m EBITDA and have 10 signed acquirers and 20+ live MSP exit discussions. Strata, our own deal intelligence, helps match you with the counterparty most likely to value what you've built. Every conversation is confidential, and an NDA is available before you share anything sensitive.

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Disclaimer: This guide is general information, not financial, tax or legal advice, and isn't a valuation of your business.

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