Rather than sharp swings, the data reflects a market shaped by fundamentals. Business performance, cost control, and operational clarity are driving outcomes.
Market Conditions in 2025
Transaction volume across the U.S. business for sale market was largely unchanged from the prior year, while median sale prices increased by roughly 2 percent. Total enterprise value reached approximately $7.95 billion, up about 3 percent from 2024.
Activity varied throughout the year. Transactions slowed early as inflation concerns persisted, picked up in the third quarter, and eased again late in the year during a government shutdown that delayed some SBA loan approvals. Despite these shifts, deals continued to close, particularly for businesses with consistent earnings and organized financial records.
Well Run Businesses Continued to Attract Buyers
A consistent theme in the report is that strong businesses remained in demand. Brokers reported that many high quality listings went under contract within weeks, while businesses with weaker margins or incomplete documentation took longer to sell.
Rising costs for labor, rent, and supplies created a clear separation in outcomes. Businesses that managed expenses effectively or passed along cost increases generally maintained value, while others faced pricing pressure.
A Broader Mix of Buyers
The buyer pool continued to expand in 2025. Private equity firms, search fund buyers, and individuals leaving corporate careers were all active. The report notes that 44 percent of buyers now identify as corporate refugees, and nearly half of brokers saw increased private equity interest.
This broader mix has increased competition for attractive businesses. At the same time, it has extended diligence timelines and raised expectations around financial reporting, risk disclosure, and future planning.
Technology and Cost Management Matter More
Technology adoption, including the use of AI tools, is increasingly part of buyer evaluation. About 65 percent of owners reported using AI in some form, and most said it improved performance. Buyers often view technology as a sign of operational efficiency or future scalability. Others focus on whether there is room to improve systems after an acquisition.
Cost management remains just as important. Buyers are paying close attention to how inflation related expenses affect margins and whether pricing strategies are sustainable.
Industry Trends Show a Divided Market
Performance varied by sector:
- Service businesses showed the strongest results, particularly in financial services, technology services, and engineering.
- Retail outcomes were mixed. Many operators faced margin pressure, while niche concepts such as coffee shops performed better.
- Restaurant transaction volume declined, but buyers continued to pursue operators with stable revenue and repeat customers.
- Manufacturing activity lagged, with values pressured by tariffs, labor challenges, and supply chain uncertainty, although adaptable businesses continued to sell.
Looking Ahead
Broker sentiment suggests increased activity going into 2026. More owners are expected to consider selling due to retirements and shifting personal priorities, while buyer demand is expected to remain steady.
Across survey data and broker feedback, one point remains consistent. Preparation has become more important than timing. Clean financial statements, documented operations, and reduced reliance on the owner are central to successful transactions.
At Business Exits, this aligns with what we see in active sale processes. Market conditions will change, but businesses that are prepared tend to have more options and better outcomes when they decide to sell.
Link to the BizBuySell Insight Report:
https://www.bizbuysell.com/insight-report/
For owners who want to understand where they stand in today’s market, obtaining a confidential valuation can be a practical first step in planning an eventual exit and evaluating available options. To learn more or to schedule a conversation with our team, visit
https://businessexits.com/page-y/.