Market Data

BizBuySell’s Q1 2026 Insight Report: Three Takeaways

BizBuySell chart of median revenue and median cashflow for sold service businesses, 2017 to Q1 2026

BizBuySell just dropped their Q1 2026 Insight Report, which draws on data from ~2.3K transactions closed in Q1, as well as surveys of business brokers and buyers across the US.

My 3 takeaways:

1. Service Businesses Are Up

Service businesses saw a 13% increase in the median sale price, against an 8% increase in SDE, implying ~5% multiple expansion. Demand is starting to pool in service-based businesses—especially in home services.

For business owners: If you operate a quality service business, your stock is rising. Buyers are competing harder and premiums are starting to show up in the data.

2. Almost 50% of Buyers Are “Corporate Refugees”

Up from 44% just last quarter. White-collar labour—which would traditionally have found its place on the corporate ladder—is increasingly looking at small business ownership as a hedge against job insecurity, and a ticket to lifestyle flexibility and financial freedom.

For business owners: The buyer pool is getting more sophisticated. Likely better capitalised, but also more selective. I’d expect tougher diligence, and a lower tolerance for messy books.

3. Financing Is Getting Tighter

With the SBA tightening 7(a) guidelines (e.g. 5% seller down max with full stand-by, and citizenship rules that exclude green card holders) and a cautious rate environment, financing conditions have understandably become less favourable. 45% of brokers surveyed would agree.

For business owners: You should vet financing early. Loan pre-qualification and buyer vetting matter more in tighter environments.

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