The International Business Brokers Association and M&A Source just released their Q1 2026 Market Pulse Survey — and the findings for the lower middle market are significant.

In this breakdown, I walk through the key data points every business owner, advisor, and investor in the $5M–$50M range needs to understand before making any exit decision in 2026.

Here’s what the data actually shows:
✅ EBITDA multiples holding steady at ~4.5x in the lower middle market
✅ 83% of businesses over $5M attracted at least 3 offers — some received 10+
✅ Average cash at close reached approximately 87% — seller financing falling to just 5%
✅ 68% of buyers came from over 100 miles away — the buyer pool is now national
✅ Most sellers entering the market have done zero formal exit planning
✅ AI is being discussed in deals but not yet moving valuations materially

The market is active. Buyers are competing. Capital is available. But this is a selective environment — and the businesses commanding the best outcomes aren’t just lucky. They’re prepared.

📌 If you’re considering a sale in the next 12–36 months, this data should directly shape how you position your business today.