Thinking about selling?
M&A ready in 3 min.
PE / Family Office?
78 of 100 spots left12 months free — first 100 firms.
Register as a Buyer
AI Matchmaker — Don't Miss a Deal!
Thinking about selling?
Find out if your business is M&A ready in 3 minutes.
PE firm or family office?
78 of 100 spots leftFounding Partners get 12 months free — first 100 firms only.
Private equity firms, family offices, and search fund operators are sitting on record levels of capital — and they need quality businesses to deploy it. Here's exactly what they want, and how to know if your business qualifies.
Not all buyers are the same. Understanding who is likely to buy your business — and what they care about — is the first step to a successful exit. Click any buyer type to see their full acquisition criteria.
These sectors are seeing the highest buyer demand in 2025–2026. If your business operates in one of these industries, you may already be on a buyer's radar.
Fragmented market ideal for roll-up strategies. Recurring service contracts, essential demand, and strong local brand loyalty.
Aging population drives demand. Recurring patient relationships, insurance reimbursements, and high barriers to entry make these highly attractive.
Recurring subscription revenue, high margins, and scalability make SaaS businesses among the most sought-after assets in the lower middle market.
Companies outsourcing non-core functions drives steady demand. Long-term contracts, low capital requirements, and high margins attract financial buyers.
Essential supply chain role with predictable cash flows. Buyers value exclusive distribution agreements and established customer relationships.
Demographic tailwind from aging baby boomers creates decades of demand growth. Licensed facilities with strong occupancy rates command premium valuations.
Regardless of buyer type, these qualities consistently increase valuation and deal certainty across all institutional acquisitions.
Consistent Revenue Growth
3+ years of steady or growing revenue signals a durable business, not a one-time spike.
Strong EBITDA Margins
Buyers want to see 15%+ EBITDA margins. Higher margins mean more cash flow to service acquisition debt.
Management Team in Place
A business that runs without the owner is worth significantly more. Buyers pay a premium for depth.
Recurring or Contracted Revenue
Subscriptions, maintenance agreements, and long-term contracts dramatically reduce perceived risk.
Diversified Customer Base
No single customer should represent more than 15–20% of revenue. Concentration kills deals.
Clean, Audited Financials
3 years of clean books with add-backs clearly documented. Buyers walk away from messy financials.
These issues cause buyers to walk away or dramatically reduce their offer. Address them before going to market.
Owner is the business — no one else can run it
Revenue declining for 2+ consecutive years
Single customer represents 30%+ of revenue
No formal contracts with key customers or employees
Financials mixed with personal expenses
Pending litigation or unresolved regulatory issues
Key employees likely to leave post-sale
Lease expiring within 12 months with no renewal option
Not sure where you stand?
The free M&A Readiness Quiz scores your business across 12 dimensions that buyers actually care about — and tells you exactly what to fix before going to market.
Take the Free Quiz →Two businesses with identical revenue can sell for vastly different multiples. These are the factors that separate a 4× deal from an 8× deal.
Recurring Revenue
+1×–3× EBITDASubscription, maintenance contracts, or retainer agreements signal predictable future cash flows.
Owner Independence
+1×–2× EBITDAA business that runs without the owner is worth dramatically more. Buyers pay for systems, not people.
Revenue Growth Trend
+0.5×–2× EBITDAGrowing 15%+ YoY signals market demand and operational momentum. Flat or declining revenue compresses multiples.
Customer Concentration
−1×–3× EBITDAIf one customer is 30%+ of revenue, buyers will discount heavily or walk. Diversification is critical.
Proprietary IP or Process
+1×–3× EBITDAPatented technology, proprietary software, or unique processes create defensible moats buyers will pay for.
Clean Financial Records
+0.5×–1.5× EBITDAAudited or reviewed financials with clear add-back documentation reduce buyer risk and increase confidence.
Management Team Depth
+1×–2× EBITDAA strong #2 and #3 in leadership means the business survives the owner's departure. Buyers pay for this.
Pending Litigation
−1×–5× EBITDAUnresolved legal issues can kill deals entirely or require significant price reductions and escrow holdbacks.
Select your industry and approximate EBITDA to see which institutional buyer types are most likely to be interested in your business.
Take the free 3-minute M&A Readiness Quiz to get an AI-scored assessment of how your business stacks up against what institutional buyers are actually looking for — and a personalized action plan to close any gaps.
Takes 3 minutes · AI-scored · No obligation · No credit card required