Lending partners in this space range from debt providers (banks, PEGs, etc.) to equity investors. Additionally, many companies have cash on the balance sheet that is targeted at acquisitions at this level.

While the deal process for SMB and middle market transactions tend to be relatively the same, the one extra level of diligence we tend to see is a Quality of Earning (QoE) Report, which provides a detailed analysis of all the components of a company’s revenue and expenses. These reports are frequently prepared by independent third party firms during due diligence in an acquisition. It is not an audit. The QoE is used by the buyer either for their own internal committees or for their lending partners if they are using outside resources for the acquisition.

Buying a middle-market business with IAG means you’ll have a dedicated team of advisors controlling the process from start to finish. Our expert M&A advisors are very focused on getting the best for you and your business.