Market Overview

During the past 2 years, we have seen an increasingly strong demand from investors for well-run middle market companies. This demand is driven largely by (a) private equity groups who have accumulated significant amounts of capital and are under pressure to consummate transactions, and (b) corporate investors who are looking to supplement their organic growth with strategic acquisitions.  It appears that acquisition financing is becoming more accessible and interest rates are likely to remain relatively low for the foreseeable future.  In our view, these factors have led to increasing demand and valuations for middle market companies which have performed satisfactorily during the past 5 years and are prepared to grow as the economy strengthens.

Our affiliate, Sunbelt Business Brokers*, is the largest business brokerage firm in the world, with approximately 200 offices on 5 continents.  Sunbelt is seeing a significant up-tick in activity in the lower middle market segment and we expect that is a harbinger of a strengthening middle market for 2013 and 2014.


*Due to its affiliation w/ SBB Capital Partners, Sunbelt Business Brokers and SFI Capital Group, LLC are related entities.