What Is My Web Design or Creative Agency Worth?

Web design, graphic design, and creative agencies run the gamut from solo freelancers to multi-person studios with diverse capabilities. The valuation depends almost entirely on whether revenue is recurring (retainer-based) or project-based — and whether clients are tied to the business or to the owner.

Typical Valuation Ranges

Most web design and creative agencies sell for 2x to 3.5x SDE.

Factors that push toward the higher end: Retainer-based client relationships (hosting, maintenance, ongoing design), diversified capabilities (web, branding, content, digital marketing), team of designers and developers, revenue above $500K with consistent growth, strong portfolio and client list.

Factors that push toward the lower end: Project-based revenue with no recurring income, owner is the primary designer/developer, client relationships tied to the owner personally, freelancer model without staff, declining revenue.

Key Value Drivers

Retainer revenue — monthly retainers for website hosting, maintenance, content creation, and ongoing design work create recurring revenue that buyers will pay for. Agencies with 50%+ retainer revenue command premium multiples.

Client diversification — no single client over 15% of revenue. Creative agencies frequently have concentration risk.

Team capabilities — agencies with skilled designers, developers, and project managers who operate without the owner are significantly more transferable.

How to Increase Your Value

1. Build retainer revenue. Website hosting and maintenance plans, ongoing content creation, and monthly marketing services create recurring income.
2. Diversify clients. Actively pursue new clients to reduce concentration.
3. Build your team. Hire designers and developers who manage client work independently.
4. Systematize delivery. Project management tools, design systems, and SOPs make delivery consistent and transferable.
5. Own client relationships at the business level. Ensure clients engage with your agency brand, not just you personally.

Browse the valuation multiples guide for industry data, or schedule a free call for a confidential valuation.