How to Unlock EBITDA in Multi-Site Services—By Operating Like 1 Company, Not 100 Branches

How to create operational leverage in multi-site service businesses

Here’s a dirty secret in multi-site investing: most roll-ups don’t operate as a single company. Instead, they are a patchwork of acquired businesses flying under one brand—each with different systems, pricing, procurement processes, and cultures.

That’s a network, not a platform. And networks don’t scale; platforms do.

The data backs it up: In a recent study on buy-and-build deal performance, top-performing deals where integration was well executed generated 40 percent higher returns and an average MOIC (multiple on invested capital) of ~2.3 times. Additionally, deals with significant integration efforts reported EBITDA (earnings before interest, taxes, depreciation, and amortization) margins improving by three to five percentage points during the hold period.

Here’s what multi-site investors need to know.