At ABC Business Sales, we're excited to share our February 2025 market update, and the numbers tell a story of a thriving business sales market. Whether you're a buyer, seller, or just keeping an eye on the market, these trends highlight why now is an excellent time to be involved in business ownership.
Completed Sales
Completed business sales increased by 15% (383 vs 331), driven by strong buyer demand. The sell-through rate reached a record high of 58% (383 businesses sold out of 661 listed for 11mths to Feb-25).
Buyer Demand
The level of enquiry from potential purchasers has hit another all-time record of 22,980 signed confidentiality agreements for the 11 months to February 2025, a 34% increase from the previous year. Each new business listing is currently attracting an average of 34 signed confidentiality agreements.
Seller Sentiment
Many business owners are holding off listing until their financials improve, contributing to a 10% decline in new businesses coming to market. However, we expect this to shift in 2026 as financial performance improves for business owners and they recognize the market conditions are well placed to deliver them a favourable outcome on exit.
Pricing Trends
The average business sale price decreased 8% in February 2025, driven by a higher volume of <$500k transactions. This trend is largely influenced by increased demand from Asian immigrants, who are actively acquiring small businesses upon arriving in New Zealand.
Market Outlook
The data shows a shortage of new businesses for sale, while buyer interest has surged. As a result, quality businesses are being snapped up quickly by eager purchasers who anticipate long wait times for the next great opportunity. This trend is expected to continue throughout 2025 as:
-
Business owners delay selling in hopes of stronger financials.
- Demand remains elevated, fuelled by new Asian immigrants and existing
- Kiwis recognizing business ownership as a reliable path to wealth-building in a tough economic climate.
