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Before discussing valuation multiples, buyers quietly screen potential acquisitions using a set of key performance indicators (KPIs) that reveal risk, scalability, and earnings quality.

In nearly every business sale, the deal doesn’t truly end at closing. Hidden in the fine print of the purchase agreement is one of the most critical—and misunderstood—components of any transaction: the working capital true-up.

A retrade occurs when a buyer attempts to renegotiate price or deal terms after signing a Letter of Intent (LOI), typically during due diligence. Buyers retrade when they uncover new risks, question financial assumptions, detect performance changes, or reassess market conditions.

When selling a business, most owners focus on valuation and cash at closing. But in many mid-market transactions—especially those involving private equity—buyers propose an equity rollover.

Interest rates directly influence business valuations, buyer behaviour, deal structure, and exit timing. When rates rise, borrowing becomes more expensive, which can reduce acquisition leverage and pressure valuation multiples.

When acquiring a SaaS company, buyers focus on revenue quality, customer retention, scalable growth, unit economics, and operational predictability.

When selling a business, the headline purchase price rarely equals what the owner ultimately takes home. Hidden costs—such as working capital adjustments, transaction fees, tax structuring, earn-outs, rollover equity risk, and post-closing obligations—can significantly reduce net proceeds.

The mid-market M&A landscape entering 2026 looks fundamentally different from what many business owners remember from prior sale cycles.

The mid-market M&A landscape entering 2026 looks fundamentally different from what many business owners remember from prior sale cycles.

Roll-ups and platform deals are private equity–backed acquisition strategies where multiple businesses are combined to create a larger, more valuable enterprise.