Lower middle-market (LMM) private-target M&A deals—those with closing payments of $50 million or less—continue to make up more than 40% of total deal volume. That makes these transactions immensely important to the overall M&A market, and knowledge of their dynamics can help deal parties achieve better results on deals of all sizes.

This report provides exclusive data and insights into LMM deal trends, with a
focus on areas where LMM deals differ from the broader M&A market. LMM deals
trend toward sellers providing robust indemnities and placing a large percentage of the deal consideration at risk through earnouts, escrows, and purchase price adjustments. Understanding the data and differences in LMM deals can assist deal parties with advance planning and negotiation strategy to help mitigate risk.