Small biz sales to boom

BVWireIssue #186-1
March 7, 2018

Nearly three-quarters (73%) of business brokers and advisors surveyed predict the volume of small businesses sold (under $50 million) will increase in the next 12 months, according to the “Q4 2017 Market Pulse Report,” published by the International Business Brokers Association (IBBA), M&A Source, and the Pepperdine Private Capital Market Project. Two-thirds (65%) of advisors say that the Small Business Administration rules lowering minimum down payments from 25% to 10% will lead to more business sales this year.

“Small business owners seeking to sell their business in 2018 have cause to be bullish,” said Warren Burkholder, CBI, president of NEVRG Inc. “With the corporate tax rate dropping to 21% and the repatriation of overseas capital, companies will have more capital to allocate to acquisitions. Add to that heavy competition in the marketplace, which means even more companies will be pursuing smaller market transactions.” The Q4 2017 survey was completed by 264 business brokers and M&A advisors.

Please let us know if you have any comments about this article or enhancements you would like to see.