Liquor stores in Illinois are typically valued at 0.3x to 0.5x annual gross sales or 2x to 3.5x SDE, whichever produces a higher value — buyers and sellers often reference both. A store doing $2M in annual sales with strong margins might be worth $600,000–$1,000,000 depending on location, competition, and lease quality.
The Illinois Liquor License
Illinois liquor licenses are municipality-specific and vary dramatically in transferability and value. Some towns cap the number of licenses issued, making existing licenses scarce and valuable. Others have no cap. Buyers must verify that the license is transferable and understand the local approval process before committing to a purchase.
Margin and Product Mix
Higher-margin businesses (specialty wine and spirits shops with a curated selection) trade at premiums over traditional package stores. Businesses relying heavily on beer and low-margin staples have thinner gross margins and lower multiples. A well-curated store with loyal customers and community relationships is worth significantly more per revenue dollar.
Inventory is typically bought at cost in addition to the agreed purchase price, and its value should be assessed independently during due diligence.