The Market Pulse Report provides market conditions quarterly. M&A Source and the International Business Brokers Association coordinate the report. Business brokers and M&A advisors are surveyed for the data. The report covers Main Street firms (up to $2MM) and the lower middle market (between $2MM and $50MM).
Each quarter, the industry report is produced after analysis. This article discusses the report's main findings and what they mean for buyers and sellers.
Tracking Labor Shortage
The second-quarter report contained many intriguing details. The survey shows that the labor shortage remains a major issue for business owners. 92% of report respondents said the labor shortage has hurt their firm, with 54% calling it "extremely bad" and 35% "somewhat unfavorable."
Time to Close
The report stated that businesses close in approximately seven months. They stated that well-priced and benchmarked businesses sell in six to 12 months. After signing the letter of intent, due diligence or execution takes 60–120 days, according to the report.
The survey shows restaurants making a strong comeback. It's noteworthy that eateries under $500K to $1 million are rebounding well. Business, personal, construction, and manufacturing are steady.
The recent Market Pulse Report indicates numerous directions. Labor shortages, inflation, and supply chain concerns affect business owners. Many businesses have had to provide hefty raises to employees, and others have passed the expenses on to consumers and buyers.
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