The due diligence process was never meant to be fun — and it isn’t. But for too many business owners it is downright painful. But due diligence doesn’t have to be this way. By adopting the right mindset and taking the right steps, companies can shine during this process.

Many company founders and owners—provoked by the constant changes, challenges, and uncertainties of the federal small business marketplace—are pondering if 2022 is the year to transfer their business.

Lower middle-market companies were major players in last year’s deal activity and that continued through the first half of 2022, as well-capitalized buyers continued to seek strong, innovative privately held companies.

For most small business entrepreneurs, your company is your most valuable asset. Understanding its value is important for both growing your business and planning an exit. So how do you establish and maintain an accurate valuation of your company?

While current macro factors will have an impact on M&A, we think there are important considerations that warrant optimism especially in the lower end of the middle market (private companies with $25M to $150M in revenues) where deal activity will continue to be driven by two factors.