5.4.5.2Vertical

Broadline Food Service Distribution

Full-line distributors supplying food to restaurants and institutions.

Market snapshot

These figures describe Food & Beverage Distribution (5.4.5), the segment that Broadline Food Service Distribution sits within. They are not figures for Broadline Food Service Distribution on its own.

Market size
~$1.51T
Growth
~5.5%CAGR (2017–22, nominal)
Companies
~31,328 firms
Firms by employee count

81% of firms have fewer than 20 employees: 25,361 micro-businesses, below most mandates.

The investable universe5,967 firms with 20+ employees
20–99
4,10569%
100–499
1,24121%
500+
62110%

Three national broadliners take most of the volume, but the firm count shows a deep regional tail that persists because service radius and delivery frequency beat scale on fresh and ethnic categories. Thin margins amplify everything: a point of fuel or labor cost moves earnings far more than the revenue line suggests.

NAICS 424410, 424420, 424430, 424440, 424450, 424460, 424470, 424480, 424490, 424810, 424820. U.S. Census Bureau, 2022 Statistics of U.S. Businesses; U.S. Census Bureau, 2022 Economic Census.

Business model & economics

Revenue model

Foodservice and beverage resale with logistics markup

Key economics

Revenue per firm
$48,101,013
Revenue per employee
$1,431,748
Employees per firm
33.8
Recurring revenue
High

recurring reorder from foodservice accounts

EBITDA margin
Thin broadline; higher specialty
Capex intensity
Moderate

Characteristics

  • Scale-driven: payroll is only 5% of revenue, so the cost base is assets, not headcount
  • Deep strategic-buyer pool: 621 firms exceed 500 employees, so a scaled asset has trade buyers
  • Largest distribution segment; broadline giants lead.
  • Cold-chain logistics a key capability.
  • Consolidating broadline; fragmented specialty.

NAICS 424410, 424420, 424430, 424440, 424450, 424460, 424470, 424480, 424490, 424810, 424820. U.S. Census Bureau, 2022 Statistics of U.S. Businesses; U.S. Census Bureau, 2022 Economic Census.

Geographic concentration

AlabamaAlaskaArizonaColoradoFloridaGeorgiaIndianaKansasMassachusettsMinnesotaNorth CarolinaNorth DakotaOklahomaPennsylvaniaSouth DakotaTexasWyomingConnecticutMissouriWest VirginiaIllinoisNew MexicoArkansasCaliforniaDelawareDistrict of ColumbiaIowaKentuckyMarylandMichiganMississippiMontanaNew HampshireOhioOregonTennesseeUtahVirginiaWashingtonWisconsinNebraskaSouth CarolinaIdahoNevadaVermontLouisianaRhode IslandMaineNew JerseyHawaiiNew York

Concentration follows port and population density, plus isolation: Hawaii carries the highest intensity in the country because everything arrives by sea and wholesalers hold the inventory the mainland keeps in transit.

HawaiiNew JerseyNew YorkMaine

U.S. Census Bureau, 2022 Statistics of U.S. Businesses (firms by state), NAICS 424410/424420/424430/424440/424450/424460/424470/424480/424490/424810/424820. Concentration shown by location quotient.

M&A deal context

Deal activityHigh

Who’s acquiring

  • Broadline foodservice strategics
  • Specialty & ethnic distribution consolidators
  • PE-backed platforms

What’s driving deals

  • Broadline scale and route density.
  • Specialty and protein roll-ups.
  • Cold-chain and logistics investment.

Find Broadline Food Service Distribution acquisition targets

Search Acquisera’s index for companies classified under Broadline Food Service Distribution (5.4.5.2) and build a targeted deal pipeline.

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