Sector IntelligenceSt. Gallen

VALUATION DIAGNOSTIC
Hospitality & Hotels

Specific market analysis for Hospitality & Hotels companies based in St. Gallen.

Pro-Forma Valuation

Market demand in St. Gallen for Hospitality & Hotels assets remains strong.

KEY DRIVER

"Market consolidation and efficiency."

Local Multiples (Est.)

N/Ax Statutory

Valuation Impact by Size (DACH 2025)

Size BucketMultiple RangeImpact
Micro (< CHF 1M EBITDA)2.5x - 3.4x-33.3%
Small (CHF 1M - 2M EBITDA)3.5x - 4.7x-6.7%
Transition (CHF 2M - 5M EBITDA)4.3x - 5.8x+11.1%
Lower Mid-Market (CHF 5M - 10M EBITDA)5.8x - 7.8x+33.3%
Mid-Market (> CHF 10M EBITDA)7.3x - 9.9x+66.7%

Source: NIMBO, Dealsuite, KPMG, SECA, Practitioner Interviews // Niche Baseline: 5x

Hospitality & Hotels Market in St. Gallen

St. Gallen — known for textile manufacturing heritage, precision engineering tradition — represents a significant market for Hospitality & Hotels companies in Switzerland. The local business environment is shaped by the canton's economic profile, offering distinct opportunities for both buyers and sellers in this niche.

Current EBITDA multiples for Hospitality & Hotels businesses range from N/Ax (statutory) to 4.0 - 7.0x (deal), reflecting a moderate arbitrage opportunity. The sector trend is Recovering, driven by: Market consolidation and efficiency. This positions St. Gallen as a notable market within the broader Services & Logistics sector.

St. GallenEconomy Snapshot

Corporate Tax 2026
14.29%
Rank 13/26
Enterprises 2024
35,134
99.6% SMEs
Unemployment
2.1%
SECO, Aug. 2026
Median Wage
CHF 6,623
/month, Eastern Switzerland 2024
Board Paralysis Risk
14.6%
of audited companies

Why Hospitality & Hotels in St. Gallen?

In St. Gallen, the Hotels & restaurants sector had 1,757 workplaces and 12,583 jobs in 2024, 4.0% of all jobs in the canton (0.8× its share in Switzerland). Source: BFS STATENT.

  • Industrial base in plastics, metals and machinery at more than twice the Swiss employment share
  • Rhine valley precision-engineering cluster around SFS and Leica Geosystems
  • University of St. Gallen (HSG), OST University of Applied Sciences and Empa's St. Gallen laboratory

Tax Impact on Valuation

St. Gallen's maximum effective corporate tax rate is 14.29% in 2026 (KPMG), rank 13 of 26 cantons, where 1 is the lowest. A company there keeps CHF 85.71 of every CHF 100 of pre-tax profit, which feeds directly into the after-tax cash flows a Hospitality & Hotels buyer pays for.

FAQ: Hospitality & Hotels in St. Gallen

How many Hospitality & Hotels companies are in St. Gallen?

According to BFS STATENT 2024, St. Gallen had 1,757 workplaces in the Hotels & restaurants sector, employing 12,583 people (4.0% of all jobs in the canton).

What is the corporate tax rate in St. Gallen?

KPMG's Clarity on Swiss Taxes 2026 puts the maximum effective corporate income tax rate in St. Gallen (federal, cantonal and communal taxes combined) at 14.29% (2025: 14.29%): rank 13 of 26, counting from the lowest rate (Swiss average: 14.43%). The maximum income tax rate for a single person, including federal tax, is 32.15%: rank 13 of 26, counting from the lowest rate (average: 33.04%).

What are Hospitality & Hotels valuation multiples in St. Gallen?

Current statutory EBITDA multiples for Hospitality & Hotels range from N/Ax. Deal-based multiples are 4.0 - 7.0x. These are influenced by St. Gallen's tax environment and local market conditions.

What is the business succession outlook in St. Gallen?

ValIndex's national board-paralysis study (June 2026) covers 943 audited companies registered in St. Gallen. For 138 of them (14.6%), no one would be left able to sign for the company if the principal signatory died: the 9th-lowest share of the 26 cantons (Switzerland: 32%). Of 1,033 substantive GmbHs with a registered seat in St. Gallen, 56.8% belong to a single person (the 12th-lowest share of the 26 cantons; Switzerland: 55.5%), according to ValIndex's July 2026 ownership study.

Explore all industries in St. Gallen

Canton hub: tax data, industry composition, key employers

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Full Swiss market analysis across all 26 cantons, including comparable M&A transactions and sector trends.

Hospitality & Hotels Valuations Across Switzerland

Compare Hospitality & Hotels business valuation benchmarks in other Swiss cantons and cities.

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