QUARTERLY ECONOMIC AND M&A MARKET UPDATE
Making real-time decisions–while staying on track toward long-term goals–is much more difficult today compared to only a few years ago. There are no shortages of headwinds to deal with: inflation, interest rates, labor issues, supply chain disruptions, returning to the office, and on and on.
Sure, things are harder, but we entrepreneurs and leaders don’t have the luxury to stop and take a break to collect our thoughts and make peaceful decisions in a vacuum. We have to make crucial decisions–fast. This puts enormous pressure on our long-term plan and our real-time data.
Our goal with this Quarterly Economic and M&A update is to provide you with relevant information (that is often much harder to find than it should be) so you can use it to enhance your decision-making and stay on track toward your future equity valuation targets.
ITR Economics // Brian Beaulieu
In the first segment, our sponsor and CEO of ITR Economics, Brian Beaulieu, brings us his thoughts about the macroeconomic picture. Brian and I talk about the potential for a 2023/2024 recession (and what’s causing it), what’s going on in the labor market, interest rates, inflation, and which industries will have no problem getting through the next two years.
My favorite part of the interview is toward the end when I asked Brian what data to pay attention to. He nails the answer. Since this interview, I picked up their book How to Make Your Move again and it is SUCH a breath of fresh air. It makes all the sense in the world why their forecasting accuracy is 94.9 percent. Since 1948, ITR Economics has provided business leaders with economic information, insight, analysis, and strategy. ITR Economics is the oldest privately held, continuously operating economic research and consulting firm in the United States.
ButcherJoseph // Jeff Buettner
In the second segment, I have Jeff Buettner on from ButcherJoseph, an M&A advisory firm, to discuss what is going on in the deal space. Jeff and his firm are in the weeds every day doing deals, whether that is selling a company to a third party, converting a business to an ESOP, raising debt, or helping facilitate an internal buyout. With this experience, Jeff gives us his update on how the current environment–and all the challenges with it–are impacting valuations, deal structures, deal volume, and perspective of different buyers. I loved my conversation with Jeff. He had practical and actionable insights that give us a view into the privately held deal market that is hard to come by.
The National Center for the Middle Market // Doug Farren
In our last segment, Doug Farren, director of The Center for the Middle Markets, comes on the show to share the results of their semi-annual Middle Market Indicator (MMI) where they surveyed 1,000 middle-market companies. I loved this addition because we got