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Market Pulse Survey-Hot Industries

Business Sales and M&A Specialists
Market Pulse Survey – 2nd Quarter 2019
Presented by IBBA, M&A Source and in Partnership with Pepperdine University

Looking at the overall market, construction/engineering, business services, and personal services led among hot industries. This is the first time construction/engineering has held such a prominent share of market activity.

Figure 4: Top Industries by Market Sector

<$500K Restaurants Personal Services Consumer Goods
$500K-$1MM Construction/Engineering Consumer Goods Business Services
$1MM-$2MM Construction/Engineering Business Services Personal Services
$2MM-$5MM Manufacturing Business Services Construction/Engineering
$5MM-$50MM Construction/Engineering (tie) Business Services, Mfg, Health, Wholesale

Construction activity is hot right now. Companies have strong balance sheets, so they’re expanding their facilities and state and local governments are reinvesting inroads. It makes sense that construction companies are selling now and getting out while things are good.

Private equity can drive a lot of trends. A few years ago, very few would look at construction. Now, they’re seeing opportunity to help great technicians and tradespeople become better business managers. We’re seeing rollups in niche specialties and its boosting activity in the wider market.