valuation basics for transactions Jul 23, 2021

That Private, Quiet Middle Market…

WHAT IS THE MIDDLE MARKET? It's not the Fortune 500 companies, nor is it a two-or three-man job shop.  In the world of mergers and acquisitions, the middle market is sometimes defined as those companies that fall into a size range, by value, from $5 million to $50 million.

What is the private market? 

Unlike those attention grabbing mega-dollar deals involving large publicly owned companies, acquisitions and mergers taking place in the middle market are usually unnoticed by all except those directly involved.  These transactions are normally quiet and private by nature.  This quiet and private middle market world is quite distinct from that of small, main street type businesses you would find advertised in the classified section of any local newspaper.  And yet it does not presume the mega status of deals in the Chrysler-Daimler class.  The middle market tends to be a world unto itself with its own players.

The M&A Source and its individual members are an integral part of this quiet and private market.  They afford business owners with an enviable way to enter and access this market, while being professionally represented by someone that knows and works in this market as one of its players.  Just one of the many ways for your company to be marketed in this quiet and private market, is at The Middle Market Expo.  What is it? It's a private event held every six months that is sponsored by the M&A Source.  It brings together a cross section of top investment firms looking to buy middle market companies with  a group of M&A Source intermediaries who confidentially represent such companies. 

The next two Expos are scheduled to be held in in April and November.  There will be over $4 Billion of buying power in the Expo room in the form of top lower middle-market Private Equity Groups.  These PEGs are some of the best funded and most professional buyers in the world for mid-sized businesses.  To get your business in front of these buyers, you can contact a member of the M & A Source (www.MASource.org) in your area.  (Other professional organization have similar "market functions".) They will know what to do and how to do it so you are operating on a level playing field with these experienced business acquirers.