Main Street M&A Market Rebounds as Small Business Dealmakers Adapt to Macro Headwinds, DealStream Survey Reveals

BOSTON--(BUSINESS WIRE)--Small business buyers, sellers, and intermediaries reported a significant rebound in market confidence during the third quarter of 2026, according to the latest Member Confidence Survey released by DealStream. Following a year-high peak in negative sentiment in Q2, economic sentiment improved markedly, with respondents describing current economic conditions as "bad" dropping 12.3 percentage points to 28.8%.

“What stands out this quarter is not a dramatic shift in market conditions, but a shift in market expectations,” said Robert Brauns, CEO and Founder of DealStream. “Buyers and sellers appear to have accepted that higher financing costs and tighter lending standards are part of today's landscape, and they're finding ways to move transactions forward. That's a positive sign for the health and resilience of the Main Street M&A market.”

The survey of approximately 420 active market participants highlights a resilient small business transaction environment. Nearly half of respondents (45.4%) expect business sales volume to increase over the next six months. While 38% of participants still view conditions as favoring buyers, sellers gained leverage, signaling a gradual trend toward negotiating parity.

Valuation expectations have stabilized, with 73.9% forecasting business selling prices to remain flat or decrease as buyers reject peak multiples. Access to credit remains the single largest operational friction point, though financing anxieties softened; respondents expecting tighter lending conditions fell from 56.4% in Q2 to 44.6% in Q3. Meanwhile, 82.3% of respondents expect interest rates to rise or remain unchanged, accepting elevated borrowing costs as the status quo.

Expected transaction activity shifted toward defensive and essential service sectors, led by Business Services (44.8%), Energy & Utilities (36.8%), and Construction & Contractors (33.0%).

About DealStream

DealStream (formerly MergerNetwork) is a global online marketplace for buying and selling businesses, real estate, capital, and professional services. With hundreds of thousands of members worldwide, DealStream connects entrepreneurs, investors, and advisors to opportunities across industries and markets.

For more information, read DealStream’s Q3 2026 Market Survey Report.