Bizstats Quarterly Report: Q2 2025
Welcome to the Q2 2025 Bizstats Quarterly Report, covering New Zealand small and medium business sales from April to June. After a typically quieter Q1, the market has picked up noticeably, with stronger deal flow and shorter timelines pointing to renewed buyer confidence.
Deal flow lifts heading into winter
Bizstats recorded 128 business sales in Q2 2025, up 15% from the 111 recorded in Q1 and 8% higher than Q2 last year. The post-summer rebound is clear, and the year-on-year gain signals that the broader recovery in transaction volumes continues to hold.
The mid-market segment drove much of the growth, with 70 deals in the $200k–$1m range compared to 62 in Q1. Meanwhile, $1m+ transactions pulled back to 11, suggesting the top end is quieter than early in the year.
Key takeaway: Sales volumes are up 15% quarter-on-quarter and 8% year-on-year, with mid-market deals leading the rebound.
Prices ease but median holds up
The mean sale price eased to $374k, down 9% from Q1 as fewer high-value transactions weighed on the average. However, the median price tells a more nuanced story. While it dipped slightly to $281k from $305k in Q1, it rose 17% compared to Q2 2024, reflecting a genuine lift in the typical deal size over the past twelve months.
The number of sub-$200k sales rose to 47, up from 34 in Q1, which contributed to the lower median. For more context on Q1 2025 pricing, see our Q1 2025 quarterly report.
SDE multiples stabilise at 2.0x
The median SDE multiple held at 2.0x, unchanged from Q2 2024 and up slightly from 1.88x in Q1. This consistency suggests that the market has settled into a stable valuation band after the post-2021 correction, with neither buyers nor sellers gaining significant ground.
Key takeaway: SDE multiples have stabilised around 2.0x, reinforcing that the market has found a sustainable floor for business valuations.
Faster deal timelines
The median time to sell shortened to 4 months, down from 6 months in Q1 2025. This is a positive signal for sellers, suggesting that well-priced businesses are attracting buyer interest more quickly as the year progresses.
- Median SDE: Rose to $180k, up from $172k in Q1
- Intangibles-to-price ratio: Eased to 68%, down from 72% in Q1
Final thoughts
Q2 2025 paints a picture of a market gaining momentum. Volumes are up, timelines are shorter, and valuations are holding steady. The pullback in mean price reflects fewer premium deals rather than any underlying weakness, and the year-on-year lift in median price is encouraging for sellers with mid-range businesses.
Whether you're buying, selling, or advising, the data suggests that confidence is gradually returning to the SME market. To explore our database of recent sales, visit Bizstats.