Quick Answer
To sell your business in 2026, the core path is: (1) get diligence-ready, clean accrual financials, documented add-backs, a 2 to 3 year review, organized contracts and corporate records, key-employee retention locked in; (2) get a defensible valuation, most owner-operated businesses are worth about 2x to 4.5x Seller’s Discretionary Earnings, or 4x to 8x+ EBITDA once there’s a management team; (3) reach the right buyers confidentially, an off-market, sequential process to pre-qualified strategic and private-equity-backed buyers rather than a public listing; (4) negotiate the LOI and definitive agreement with a transactional M&A attorney; and (5) close, typically 90 to 180 days from first conversation for a prepared business. With a buyer-paid advisor, the seller pays no advisory fee, the buyer pays at closing.
Christoph Totter · Managing Partner, CT Strategic Partners
20+ home services M&A transactions across HVAC, plumbing, pest control, roofing · Updated May 8, 2026
The market for founder-owned businesses in 2026 is the deepest it’s been in two decades. Private equity has more dry powder waiting to be deployed than at any point in history, family offices are increasingly active in operating businesses, search funders are well-capitalized and patient, and strategic acquirers across home services, industrial services, niche manufacturing, healthcare, and B2B services are paying premium multiples for clean, profitable companies. The opportunity is real. The question for most owners is not whether they can sell, it is whether they can sell well. This guide walks through how to do that without paying a broker $300,000 to $1,000,000, without exposing your business to the market through an auction, and without selling to whoever writes the highest check on day one regardless of fit.
TL;DR
CT Acquisitions maintains direct buyer mandates across more than 100 industry verticals. Each guide below covers 2026 valuation multiples, the PE-backed and strategic buyers actively acquiring, what drives value, and how the sale process works, written for founders of these businesses. Sellers pay nothing; the buyer pays the fee at closing.
Do not see your exact industry? We also cover dozens more niches across manufacturing, distribution, healthcare, and B2B services. Book a confidential call and we will tell you who is buying in your space and what your business is worth.
The capital looking to acquire profitable lower middle market businesses in 2026 is unprecedented in size and breadth. PitchBook data for 2025 showed U.S. middle-market PE deal value above $400 billion, with platform-and-add-on activity in service-based industries continuing to grow as a share of overall deal volume. Family offices, which have historically allocated to fund-of-funds and direct private equity, are increasingly direct operators of acquired businesses, particularly in home services, industrial services, and recurring-revenue B2B sectors.
What does this mean for you as a founder? It means there are more buyers, with more capital, more aggressive about closing, and more flexible on structure than at any point most operators can remember. It also means the spread between platform multiples and tuck-in multiples has widened substantially. A $1M EBITDA HVAC business in 2026 might clear at 4.5 to 5.5x as an independent acquisition. The same business as a tuck-in to a PE platform that already operates in your market might clear at 6 to 7x, with rollover equity that participates in the platform’s eventual second sale.
The uncomfortable truth is that most founders are not aware of this spread. They learn one number from one broker conversation and proceed accordingly. The right buy-side intermediary, one that maintains direct relationships with multiple capital partners and understands which mandates value your specific business, can typically deliver a 1 to 2x premium on multiple, structured better, and with the right post-close situation for the team.
The traditional sell-side process looks like this: you hire a broker or M&A advisor, sign a 6 to 12 month exclusivity agreement, pay a monthly retainer of $5K to $25K, allow them to prepare a 40 to 60 page Confidential Information Memorandum, and let them market your business to a buyer list of 50 to 200 firms. They run a process: teasers, NDAs, management presentations, IOIs, LOIs, due diligence, close. At the close they collect 8 to 12 percent of the deal value as commission, calculated using the Lehman or Double Lehman scale on most lower middle-market deals.
The numbers are not subtle. On a $5 million sale, broker compensation typically runs $300,000 to $400,000. On a $10 million sale it can exceed $750,000. On a $25 million sale, broker fees easily clear $1 million. That money comes out of your check at the closing table. It is also routinely justified by sell-side advisors as the price of “running a competitive process to maximize value”, the implied promise being that the auction premium more than offsets the fee.
That implied promise does not consistently hold. Pre-qualified institutional buyers know what your business is worth within a tight band before they enter the room. They look at your sector multiples, EBITDA quality, customer concentration, growth profile, and recurring revenue percentage. They have seen 100 businesses like yours. The “competitive premium” a process delivers is often 5 to 10 percent on a good day, almost exactly the broker fee. Net to you: roughly the same number, with 6 to 12 months of process exhaustion, market exposure, and the buyer-fit problem inherent to optimizing on price alone.
Already talking to a business broker? Most owners we work with started by talking to one or two brokers before they realized something didn’t add up, a $50K retainer, a 12-month exclusivity contract, a 10% success fee on the back end. If that’s where you are right now, read our full business broker alternative guide before signing anything. We break down what brokers actually charge, when they’re worth it, and when they’re not. Looking for brokers in a specific state? See our state-by-state guides for California, Florida, Texas, Idaho, Maine, Vermont, or all 46 state guides.
Individuals or small teams raising committed capital from a syndicate of investors to buy and operate a single company. Typical search fund acquisitions target $500K to $2M EBITDA, often $1M to $10M revenue, with the searcher stepping into the CEO role after close. Search funders are usually founder-friendly, willing to negotiate seller financing or earnouts, and bring fresh operational energy. They are the right buyer for owners who want a clean exit but also want their business to keep growing under engaged ownership.
Private investment offices managing capital for high-net-worth families. Family offices have become significantly more active in direct operating-business acquisitions over the past decade, particularly in home services, recurring-revenue industrial services, and healthcare. They typically hold for 10 to 25 years, reinvest aggressively, and treat acquired businesses as long-term holds rather than 5-year flip targets. Family offices are often the right buyer for founders who care deeply about legacy and team retention.
Funds investing $2M to $50M of equity per platform deal, typically targeting businesses with $2M to $25M EBITDA. PE-backed platforms typically run on a 5 to 7 year hold cycle, then sell to a larger PE fund or strategic acquirer. The right PE buyer brings operational support, capital for growth, and a defined exit path. Many actively want sellers to roll equity (typically 20 to 40 percent) so the seller participates in the platform’s eventual second sale.
Operating companies acquiring competitors, suppliers, or complementary businesses. In home services this includes the largest consolidators in each vertical, PE-backed platforms with national footprints, major public consolidators in each home-services vertical, plus category-specific roll-ups in plumbing, electrical, roofing, and garage doors.
4 to 8x EBITDA typical depending on subsegment. Specialty chemicals, industrial components, contract manufacturing, packaging converters, food processing. Family offices and lower middle-market private equity are the most active acquirer types in this space, long-hold capital that values steady cash generation over rapid growth, which is exactly the profile of most niche manufacturers. Customer concentration, IP defensibility, and capex requirements drive multiple variance.
4 to 8x EBITDA typical. Specialty contracting, environmental services, equipment rental, MEP, facilities maintenance. Recurring-revenue mix is the multiple driver: businesses with 50%+ recurring service-contract revenue routinely clear 1 to 2x higher than one-off project shops at the same scale. PE consolidation in industrial services has accelerated significantly post-2022 as platforms look for predictable cash flow assets.
5 to 9x EBITDA typical. 3PL, warehousing, last-mile delivery, freight brokerage, specialty logistics. Asset-light models (brokerage, 3PL) command premium multiples versus asset-heavy operators (own truck fleets, own warehouses) because capital intensity caps returns. Multiple PE-backed platforms are actively rolling up regional 3PLs and last-mile providers.
3 to 6x EBITDA typical for asset-heavy carriers; higher for asset-light. Specialty trucking, refrigerated, regional carriers, dedicated fleets. Driver retention is the central diligence area, carriers with stable driver bases and modern fleets command meaningful premiums. Specialty equipment (refrigerated, tankers, flatbed) often clears at higher multiples than dry van due to barriers to entry.
5 to 9x EBITDA typical. Flexible packaging, rigid packaging, specialty containers, contract packaging. The packaging consolidation cycle is well underway with multiple PE-backed platforms acquiring regional converters and specialty manufacturers. Sustainability-positioned packaging (recyclable, compostable, lightweight) commands particular interest from strategic acquirers in 2026.
6 to 12x EBITDA typical depending on subsegment. Multi-site medical, dental DSOs, behavioral health, ancillary services, home health, urgent care. Healthcare consolidation in the lower middle market is the most mature roll-up category in the U.S. economy, multi-site operators with documented compliance, payer mix diversity, and clinician retention command premium multiples. Regulatory diligence (HIPAA, billing, licensure) is the gating item.
5 to 12x EBITDA typical. Tech-enabled services, MSPs (managed service providers), professional services, marketing services, business services. Gross retention and net revenue retention are the two metrics that move multiples most. SaaS-adjacent businesses with 90%+ NRR can clear at SaaS-adjacent multiples (10x+ ARR). Professional services without recurring revenue mix typically run at 4 to 6x.
4 to 7x EBITDA typical. Window cleaning, septic, water treatment, fire protection, pool service, restoration. Recurring contract economics are the differentiator within specialty trades, subscription-style maintenance revenue commands premium multiples regardless of subsegment. Many specialty-trade buyers are PE-backed home services platforms expanding into adjacent service categories.

The buy-side process collapses the timeline from the 9 to 12 months a traditional sell-side process takes down to 60 to 120 days from first call to close. The structural reason is simple: we know the buyer’s mandate before we ever pick up the phone with you. If you are a fit, you are in front of a real principal in days, not after months of process preparation.
We learn your business: revenue, EBITDA, customer concentration, recurring revenue mix, owner role, growth trajectory, sale timeline, what you want post-close. We tell you what your business is worth in today’s market based on real comps (see our business valuation guide for the underlying methodology), which buyer types in our network are likely to fit, and what the typical deal structure looks like for businesses in your situation.
If we have a buyer whose mandate fits your sector, size, geography, structure, and intentions, we tell you who they are, what they look for, what they pay for businesses in your category, and how the introduction would work. If we do not have a fit, we say so, and the conversation ends with you having more market intelligence than you started with.
A direct meeting with a real buyer principal. Not a teaser. Not an NDA gauntlet. Two principals talking directly about the business, the owner’s situation, and what a deal might look like.
If both sides see a fit, the path to close runs 60 to 120 days through standard quality of earnings, legal diligence, and definitive agreement negotiation. We support the process throughout but do not run it, the buyer’s deal team and your attorney and CPA are the principals on diligence and definitive docs.
No. Brokers represent sellers, list businesses publicly, and charge sellers commissions of 8 to 12 percent at close. We do not do any of those things. We are a buy-side firm: we represent buyers, work confidentially, and the buyer pays our fee at close.
Nothing. There is no retainer, no listing fee, no success fee from sellers, no obligation, no exclusivity contract, no tail fee. Our buyer partners pay us when a deal closes.
Never. Confidentiality is foundational. We do not publish business details or share information without explicit, written approval. Your employees, customers, and competitors will not know you are exploring this unless you decide to tell them.
Top-of-market price is the floor, not the differentiator. We are paid by the buyer based on the final sale price, introducing a seller below market hurts us as much as it hurts you. The match isn’t a discount mechanism. It’s how we decide which fairly-priced buyer you meet first.
Most of our network actively wants to retain the existing team. Team treatment is on the table from the start of every introduction, not negotiated as an afterthought at the closing table.
State-specific guides cover state licensing requirements, named PE platforms active in that state, multiple ranges by tier, and the regulatory and tax considerations specific to that geography.
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Major metros: Houston · Dallas · Austin · Phoenix · Atlanta · Miami · Tampa · Orlando · Charlotte · Raleigh · Nashville · Denver · Seattle · Los Angeles · Sacramento · Las Vegas · Salt Lake City · Philadelphia · Pittsburgh · Cleveland · Columbus · Indianapolis · Birmingham · Oklahoma City · Louisville · New Orleans
If you are a founder thinking about a sale anywhere from a few months out to a few years out, the cleanest first step is a 30-minute call. No pitch, no commitment, no follow-up unless you want one. You walk away with three things you did not have before: a real-market read on what your business is worth in today’s market, a sense of which buyer types in our network would fit your situation, and the option to meet one of them when you are ready to move.
In-depth buy-side guide
The ROI case for retained buy-side M&A advisor: 3-7x return on advisor cost via compressed timeline, proprietary deal access, negotiation protection. When to hire vs. build internal corp dev.
In-depth buy-side guide
Buy-side mandate structure: retainer + success fee, 90-day milestones, sector exclusivity, tail period. What to negotiate before signing. CT Strategic Partners structures with lighter retainer + larger success fee.
In-depth buy-side guide
5-step vetting playbook: thesis, candidate identification, references (3-5 prior buyer clients), engagement negotiation, commitment. The biggest signal of strong advisor: introduces 3+ references within 2 weeks.
In-depth buy-side guide
Retainer ranges by deal size, Lehman / Double Lehman / modified Lehman / flat-rate success fees compared. $10M deal: Lehman $190k vs. Double Lehman $380k vs. flat-rate 1.5% $150k. Negotiate before signing.
In-depth buy-side guide
What is a PE firm: fund structure, top US firms (Blackstone $1.1T, Apollo $700B, KKR $580B, Brookfield, Ares, Carlyle), platform vs. add-on, LBO mechanics, 2026 multiples by sector. CT runs retained mandates for PE platforms doing add-ons.
In-depth buy-side guide
Complete 7-phase M&A process: thesis (wks 1-4), sourcing (wks 4-16), LOI (wks 16-20), QoE (wks 20-24), full diligence (wks 22-26), Purchase Agreement (wks 26-30), closing + 100-day plan. Compressed 6-12 months with retained advisor.
In-depth buy-side guide
Business acquisition definition + legal structures (APA / SPA / MIPA), transaction types (LBO / strategic / MBO / search fund / FO / IS), key terms (LOI / QoE / earn-out / rollover / R&W insurance). What every buyer should know.
In-depth buy-side guide
Complete M&A glossary: legal structures (APA / SPA / MIPA), process documents (LOI / QoE / Purchase Agreement), financial metrics (EBITDA / SDE / multiple / WC target), risk allocation (indemnification / escrow / earn-out / rollover / R&W insurance).
In-depth buy-side guide
Acquisition strategy framework: thesis discipline, capital structure, deal velocity targets, integration playbook, exit planning. Strategy by buyer type (PE 1+5/5yrs, strategic 0.3-1/yr, FO 0.5-1.5/yr, SF 1 total, IS 0.5-1.5/yr).
In-depth buy-side guide
Complete roll-up playbook: multiple arbitrage (3-5x add-on entry vs. 9-14x exit), top US roll-up sectors (healthcare, home services, auto, funeral, industrial dist), named PE platforms (Caliber, Heartland, Mars Petcare, SCI, Neighborly, Authority Brands, Apex HVAC).
In-depth buy-side guide
Top US roll-up case studies: Heartland Dental (KKR+OTPP ~2,500), Caliber Collision (H&F+OMERS ~1,800), Mars Petcare Vet (~2,100), SCI (~1,500 funerals + 470 cemeteries), Apex HVAC (~60 add-ons in 2025), Blackstone-Champions ($2.5B at 18.5x Feb 2026).
In-depth buy-side guide
Top US PE roll-up sponsors by sector: Healthcare (KKR, Bain, Welsh Carson, Ares, Webster, Audax, Apax+GSAM, Frazier, Tenex, Linden); home services (Roark, Apax+GSAM, Alpine+Brightstar, Charlesbank); auto (H&F+OMERS, Clearlake); industrial dist (CD&R, Advent, Apollo); funeral (Access, Axar).
In-depth buy-side guide
Roll-up financing: platform capital structure (50-65% senior + mezz + 35-50% PE equity + 10-30% seller rollover) plus add-on funding (DDTL, incremental term loans, sponsor follow-on, per-deal seller financing). Top US sponsor debt: Apollo, Ares, Antares, Golub, MidCap.
In-depth buy-side guide
Acquisition financing: 6 primary capital sources (SBA 7(a), senior debt, mezz, buyer equity, seller financing, earn-out, rollover). Structure by deal size: sub-$5M SBA-driven; $5-25M senior+mezz+equity+seller; $25M+ adds PE rollover. Top lenders: Live Oak (LOB), Apollo, Ares (ARCC), Antares (CPPIB), Golub (GBDC), MidCap (KKR).
In-depth buy-side guide
100% acquisition financing: SBA 7(a) + ROBS rollover + seller financing combinations that zero out buyer cash. USDA B&I for rural deals. Top SBA lenders: Live Oak (LOB largest), Newtek (NEWT), Huntington, Byline, Pursuit. ROBS providers: Benetrends, Guidant, Tenet.
In-depth buy-side guide
No-money-down structures: SBA 7(a) + ROBS rollover + seller financing (zero buyer cash at closing), search fund LP-funded acquisitions, HELOC alternatives. Buyer profile fit required: prior operator with sector experience + 720+ FICO. Personal guarantee + retirement fund risk.
In-depth buy-side guide
LBO capital structure: 35-45% senior + 10-15% mezz + 30-40% sponsor equity + 10-15% seller financing + 0-15% earn-out. Total leverage 4-6x EBITDA (down from 6-7x in 2021). Top sponsor debt: Apollo, Ares (ARCC), Antares (CPPIB), Golub (GBDC), MidCap (KKR), Madison, Twin Brook, Owl Rock (OBDC), Monroe (MRCC), Crescent (CCAP).
Vendor comparison guide
Top 10 VDRs compared: Intralinks (SS&C), Datasite, Firmex, iDeals, Ansarada, FirmRoom, DealRoom, Onehub, Caplinked, Box. Pricing $1-150k/year. Match VDR to deal size + counterparty expectations.
Vendor comparison guide
Top 7 M&A CRMs: DealCloud (Intapp, $50-200k+), Affinity ($15-60k), Intapp Suite ($75-250k+), 4Degrees ($5-25k LMM), Navatar (Salesforce-native), Salesforce FSC, HubSpot. Match CRM tier to firm AUM + deal volume.
Vendor comparison guide
Top 6 DD platforms: DiliTrust (VDR+GRC), Drooms (European), Donnelley Financial (NYSE: DFIN, public-company M&A), DealRoom (workflow hybrid), Datasite (AI tagging), Onehub (budget). Match platform to deal type.
Vendor comparison guide
Top 10 CLM platforms for M&A LOIs + Purchase Agreements: Ironclad ($30-200k+ enterprise, AI Assist), DocuSign CLM, PandaDoc ($19-89/user/mo SMB), Concord, Agiloft, ContractWorks (flat-rate), LinkSquares, Evisort, Juro (European), Spotdraft (AI cost-effective). AI-first or workflow-first architectural choice.
Vendor comparison guide
Top 7 valuation platforms: BizEquity (SMB, ~250k+ valuations/yr), ValuSource (credentialed appraisers ABV/CVA/ASA, industry standard 40+ years), PeerComps (SMB comp database 50k+ deals), Equidam (startup/tech), Eqvista (cap-table + 409a), Carta ($7B valuation, industry-standard cap-table + 409a), Aranca (outsourced services).
Vendor comparison guide
Top 7 PE research platforms: PitchBook + Capital IQ + FactSet (NYSE: FDS) + Sourcescrub + Grata + CB Insights + Preqin (BlackRock 2024). Per-user $10-100k+/yr.
Vendor comparison guide
Top 7 firms: Heidrick (HSII), Korn Ferry (KFY), Russell Reynolds, Spencer Stuart (‘big four’, $200k-1M+ retainer); JM Search, ZRG, Lochlin ($80-250k mid-market).
Vendor comparison guide
Top 7: Mariner (Lovell Minnick + Leonard Green, ~$100B AUM), Mercer (Genstar + Oak Hill ~$60B), CAPTRUST (Carlyle + GTCR ~$700B), Wealth Enhancement (TA + Onex ~$80B), Beacon Pointe, Creative Planning (~$300B), Fisher (~$200B). 0.5-1.25% AUM.
Vendor comparison guide
Top 6: Paro (largest marketplace, ~$100M+ ARR), Driven Insights, Preferred CFO (tech/SaaS), vCFO (SMB boutique), CFO Hub (transition), B2B CFO. $3-30k/month.
Vendor comparison guide
Top 6 cyber DD firms: Mandiant (Google Cloud, $5.4B 2022 acquisition), CrowdStrike Services (NASDAQ: CRWD), NCC Group (UK independent), Bishop Fox (tech/SaaS specialist), BlueVoyant (supply chain), Optiv (largest US cyber svc).
Vendor comparison guide
Top 6 R&W brokers: Marsh (NYSE: MMC, ~$23B), Aon (NYSE: AON, ~$13B), Lockton (largest private), Willis Towers Watson (NASDAQ: WTW, ~$10B); Crum & Forster (Fairfax direct underwriter); Hub International (Hellman & Friedman, LMM).
Vendor comparison guide
Top 6 SBA 7(a) lenders: Live Oak Bank (NASDAQ: LOB, largest by volume ~$10B portfolio), Newtek (NASDAQ: NEWT), Huntington National Bank (NASDAQ: HBAN, largest by # of loans), Byline, Pursuit (CDFI), US Bank (NYSE: USB). Up to $5M, 90% guaranteed.
Vendor comparison guide
Top 6: Carta (industry standard, ~$300M ARR, $7B valuation), Aranca, Eqvista (budget), Pulley (modern Carta alt), Stout, Kroll (Duff & Phelps). Required every 12 months + at material events.
Vendor comparison guide
Top 7: FTI Consulting (NYSE: FCN, ~$3.5B, largest), Kroll (Duff & Phelps, ~$2B), AlixPartners (turnaround), BDO Forensic + RSM Forensic (mid-market), Charles River Associates (NASDAQ: CRAI, antitrust), Berkeley Research Group.
Vendor comparison guide
Top 7 home services marketing agencies: Hook Agency (roofing), Scorpion (BV Investment, ~$200M revenue multi-vertical platform), Blue Corona (EverCommerce NASDAQ: EVCM, HVAC+plumbing), Service Direct (pay-per-lead), ServiceTitan Marketing Pro (NYSE: TTAN), RYNO, Optix.
Vendor comparison guide
Top 8 outreach tools: Apollo.io (~$1.6B valuation comprehensive), ZoomInfo (NASDAQ: ZI, $1.2B+ revenue enterprise), Clay (AI-powered), Lemlist (email personalization), Instantly.ai (cold email at scale), Outreach.io (enterprise), Salesloft (revenue orchestration), LinkedIn Sales Navigator.
New data piece
21 active US pest control PE roll-up platforms profiled: Rollins (NYSE: ROL), Rentokil-Terminix (NYSE: RTO), Anticimex (EQT), Aptive (Goldman Sachs Asset Mgmt), Hawx (Aurora Capital), ProGuard (Trivest), Mantle (Knox Lane), Cook’s, Arrow, Massey, ABC, Truly Nolen + 9 more. Multiples 6x-13x EBITDA by profile. Acquisition velocity tracked 2024-2026.
If you want to dig into the specifics for your vertical or learn more about how buyers think, these are the deepest pieces we’ve published:
Read next: the 2026 LMM Buyer Mandate Report, a 4,500-word proprietary research piece on the 76+ active U.S. lower-middle-market buyers, mapped by EBITDA band, sector, and deal structure.