"Gobbling Up the Small Fry" - Robert Fligel Discusses the M&A Boom with Crain's NY Business

Partners nearing retirement and financial troubles are two common reasons firms merge or sell. Founder of RF Resources, Robert Fligel, spoke with Crain’s NY Business about what some are calling an “M&A Boom”.

Fligel, who advises firms on mergers, sales acquisitions, believes that present conditions make it a buyers market. “Now they want more than just the revenue. They want good staff, good locations and niche businesses,” he said.

With going prices down by as much as 20%, some firms are holding out on merging in hopes of getting a better deal when the economy picks up. Fligel warns that that approach could backfire if a flood of firms then end up entering the market all at once and create an influx of sellers.

While some in the industry believe that small firms are going to become few and far between, Fligel is of the opinion that as long as there are small businesses, there will be small accounting firms. “A glass manufacturer in Long Island City, Queens, with $2 million a year in sales is not going to want to be handled by EisnerAmper, or anyone close to that size. They’ll get lost in the shuffle.”

Download a PDF of “Gobbling Up the Small Fry”.