Q4 2024 - State of the M&A Market

Is now a good time to sell my business? How’s the market?

The below image provides a great M&A market-snapshot.

M&A deal-volumes are on the rise ever since the US Federal Reserve began to steadily lower the Federal Funds rate. The below graph reveals a clear inverse relationship between the two variables (interest rates and M&A deal volumes). If we assume that deal-making is, in part, a function of the prevailing cost of capital, then continued reductions in interest rates should lead to increased M&A deal-volume as well as improving M&A market-health in the coming months.