Valuation

AI as a Structural Tailwind for Small Business Valuations

Excerpt from BizBuySell's 2025 Insight Report headed 'AI Shapes Buyer Decisions and Valuation Perception'

Another one from BizBuySell’s 2025 Insight Report: AI may be a structural tailwind for small business valuations.

On the Buy Side: AI Is Expanding the Buyer Pool

44% of small business buyers identify as corporate refugees—mid-career professionals leaving employment to buy a business. Among that group, 28% cite AI-related job concerns as a contributing factor in that decision.

AI is disrupting traditional employment and pushing a growing wave of motivated, capitalised buyers toward small business ownership.

On the Sell Side: AI Is Improving the Underlying Asset

65% of small business owners now report using AI in their operations, and 83% of these say it has improved performance.

Buyers are starting to price this in. 33% view a business that has adopted AI as more valuable, going so far as saying that “If the business hasn’t started implementing ANY AI enhancements, I would be concerned about any existing staff being able to implement and/or adapt to AI”.

For business owners, the implication is straightforward: AI adoption is increasingly a valuation input, not just an operational one.

Thinking About Selling Your Business?

We help Main Street owners understand what their business is worth and how to prepare for a sale. Book a free, confidential conversation.

Schedule Free Consultation Try the Value Calculator