We are pleased to announce that the September 2024 Business Sales Quarterly Report has been released, revealing key factors currently influencing New Zealand's business sales market:
- Record Demand: Demand for businesses has reached unprecedented levels, with 22,404 confidentiality agreements signed in the last 12 months—45% ahead of the same period last year.
- Sales Volume Growth: This surge in demand has driven an 8% increase in business sales volumes, with 400 business transactions completed in the year to Sept-24 compared with 369 sales to Sept-23.
- Rising Business Prices: For the first time in 18 months, there has been a significant 5% increase in the average business price, now at $874,182 (Sept 2024), compared to $831,329 (Sept 2023).
Emerging Trend – Record Average Business Price
- The new average business price of $874,182 marks a record, surpassing the previous high of $868,102 achieved in December 2022.
- Analysis shows that increased demand for quality businesses is the key driver behind this growth, with many businesses attracting multiple offers, pushing sale prices higher.
- Elevated unemployment levels, recent interest rate cuts combined with expectations of further reductions, are likely to support a continued upward trend in business prices in the short to medium term.
This report offers valuable insights into the current business sales landscape in New Zealand. For a deeper analysis, including detailed information on business prices, sales volumes, demand levels, multiples and recent transactions, we encourage you to review the full report.