Election Impact on M&A in 2025: What Business Owners Need to Know

Election Impact on M&A in 2025: What Business Owners Need to Know

Kyle Griffith, CBI, CMAP– The NYBB Group

The results of the 2024 presidential election have sparked widespread discussion about how new policies will shape the business landscape, particularly in Mergers and Acquisitions (M&A) within the lower middle market. If you’re a business owner thinking about selling, now is the time to pay close attention to shifting tax policies, lending regulations, and economic trends that could impact deal valuations and buyer demand in 2025 and beyond.

What This Means for Business Owners Considering an Exit

📈 Valuations Could Rise: Pro-business policies, tax breaks, and reduced regulatory pressures may attract more buyers to the market. Increased competition could drive more substantial valuations for sellers considering an exit.

🏦 SBA & Lending Implications: A potential loosening of banking regulations may make financing for business acquisitions more accessible, making it easier for buyers to secure funding—a key factor in closing deals efficiently.

⏳ Buyers Are Motivated—But for How Long? Many investors expect favorable M&A conditions in the near term, but uncertainties around interest rates, inflation, and economic shifts could change the landscape. Waiting too long could mean missing today’s strong buyer demand.

🔍 Tariffs & Industry-Specific Impacts: Sectors such as domestic manufacturing, defense, and fossil fuels may benefit, while renewable energy, healthcare, and industries reliant on global trade could face new challenges due to tariffs and regulatory shifts.

Should You Start Preparing to Sell?

Even if you’re not ready to sell immediately, preparing now ensures you’re in the best position when the time is right.

✅ Get a Business Valuation – Knowing what your company is worth today helps you make informed decisions.

✅ Optimize Your Financials – Clean financial records and strong profitability make your business more attractive to buyers.

✅ Build Your Exit Plan – Work with trusted advisors to develop a strategy that maximizes value and minimizes tax liabilities.

✅ Stay Agile – M&A conditions can shift quickly. Business owners who plan ahead and stay adaptable will be best positioned to benefit.

The market is full of opportunities—but only for those who are prepared. If you’ve been considering a sale or want to explore your options, now is the time to start the conversation.

📩 Let’s discuss your exit strategy confidentially and position your business for maximum value in today’s evolving market.

If you have any questions or would like to discuss this topic further, feel free to reach out and schedule an appointment https://hihello.me/hi/meetkyle

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