Tennessee Business Owners: Your Exit Window Just Got a Little Brighter!

Tracy Scrima • February 17, 2026
IBBA + M&A source

The latest IBBA + M&A Source Market Pulse (Q3 2025) dropped some eye-opening stats from 300 brokers who closed 247 deals this quarter. If you're thinking about selling (or even just curious), this is what matters most right now:

  1. The Big Generational Shift is ON Baby Boomers still make up ~59% of sellers, Gen X ~27%. Younger buyers (30s/40s) love hard numbers, growth metrics, and acquisitions. Long-time owners? They care about legacy, relationships, and values. Translation: If you're a Boomer-era owner, buyers are hungry—but bridging that mindset gap is key to getting top dollar.
  2. Seller Confidence is Holding Strong Most segments (especially $500K–$5M+) show stable-to-up sentiment. The market feels solid—no big red flags.
  3. Your Business Could Be Worth More Than You Think Median multiples are steady or climbing in key ranges:
  • Under $500K: ~2–2.5x SDE
  • $500K–$1M: ~2.5–3x
  1. Higher end ($5M–$50M): up to ~5.3x EBITDA in spots Clean books + real growth = strong offers.


  4. Buyers Are Paying Mostly Cash 81–88% of deals closed with cash at closing. Seller financing or 

      earnouts? Rare (under 15%). Quality businesses are getting paid upfront.


Bottom line: The "great handoff" from Boomers to the next generation is picking up speed—and the market is active for well-run businesses.


If you're a long-time owner wondering "Is now the time?", the data says: probably sooner rather than later.


Want a quick chat about what this means for your business?

Tracy Scrima

Tracy Scrima

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