You’ve built something real. But when you ask “what is my business worth,” the answer might surprise you — and not always in the way you’re hoping. Here’s how valuation actually works for lower middle market businesses.
An EBITDA multiple determines what a buyer will pay for your business. For Nashville businesses with $3M-$50M in revenue, multiples typically range from 4x to 8x. Here’s what drives your number higher or lower.
Technology due diligence is now standard in every M&A transaction. Learn what buyers evaluate — infrastructure, cybersecurity, IP, data assets, licensing, and IT team — and how technology findings affect your business valuation.
Service businesses sell for 4x to 12x EBITDA depending on revenue quality, owner dependency, client concentration, and scalability. Learn how buyers value service businesses differently and what drives premium multiples.
Multiple offers create leverage that typically generates 15-30% higher valuations. Learn how to manage a competitive sale process, evaluate offers beyond price, handle exclusivity, and avoid the mistakes that cost sellers money.
Customer concentration is one of the top five deal killers in lower middle market M&A. Learn how buyers measure it, the valuation impact at different concentration thresholds, and practical strategies to diversify before going to market.
A Quality of Earnings report is the financial microscope through which buyers examine your business. Learn what QofE reports analyze, what they cost, and why smart sellers commission their own before going to market.
EBITDA adjustments transform tax-minimized financials into true economic earnings. Learn owner compensation normalization, one-time expenses, related party transactions, and how to build a credible adjustment schedule that buyers trust.
Most lower middle market businesses sell for 3x-8x adjusted EBITDA. Learn what drives valuation multiples, common mistakes that leave money on the table, and how to position your business for a premium sale price.