Main Street vs. Lower Middle Market – Business Transition Services
Main Street vs. Lower Middle Market Businesses –
What Business Transition Services Do They Need?
When business owners decide to sell their business, they will likely retain the services of either a Business Broker or a Mergers and Acquisitions (M&A) Advisor. Though both kinds of professionals have the same objective – to assist the owner is the sale of the business – their services are quite different.
Main Street companies are often defined as businesses that typically sell for less than $1,000,000 – and usually require the services of a Business Brokerage to sell. These companies [i.e. dry cleaners, hair salons, restaurants, gas stations, convenience stores, franchises, or small service businesses] are usually purchased by individuals who want the independence of running their own company and want to replace their salary with the income of the business.
Summit Acquisitions Group provides Business Brokerage services to the owners of Main Street companies [businesses which are usually stand-alone entities and relatively easy to value], including a comprehensive business valuation opinion and a confidential buyer-seller matching process. As Business Brokers, we usually represent the seller, but often assist the buyer in navigating the acquisition process and obtaining financing for the transaction. And, as Business Brokers, we typically confidentially present the acquisition opportunity to a very large pool of potential buyers.
Lower Middle Market companies typically sell for between $1 million and $25 million – and require M&A Advisory / Business Intermediary services to successfully close. These companies are typically purchased by: (i) “corporate refugees” – business executives who have learned many business skills while working in the corporate world, and want to use these skills to operate a scalable business of their own; (ii) private equity groups looking to acquire platform investments and tuck-in acquisitions to grow for a future sale; and (iii) strategic buyers – who want to accelerate their growth with acquisitions.
Summit Acquisitions Group provides M&A Advisory services to the owners of Lower Middle-Market companies – deals that involve complex business transactions with sophisticated buyers, often including intricate deal structuring, and challenging valuation and finance arrangements. As M&A Advisors, we often work on national transactions, which may involve intricate business merging, or sale, spanning multiple locations. And, as M&A Advisors, we typically confidentially present the acquisition opportunity to a small select group of targeted buyers.
The Summit Acquisitions Group — Business Brokers and M&A Advisors — specializes in the sale, appraisal, and financing of privately owned companies ranging in valuation from $750,000 to $25,000,000. Contact their offices in Atlanta, GA or Charlotte, NC for a free consultation.