Timing matters, but preparation is what really determines the outcome.
When is the right time to sell?
New Zealand business owners have always had to make big decisions in changing conditions. From the economic reforms of the 1980s to the GFC, Covid-19 and today’s uncertain economy, resilience and flexibility have simply become part of being in business.
But at some point, many owners face the same question: when is the right time to sell?
With more than 40 years in the industry, ABC Business Sales (ABC) knows the decision is rarely driven by the market alone. More often, it comes down to a mix of logic and emotion.
Demand is now outstripping supply
ABC completed more than 500 business sales across New Zealand in 2025, up 28% on the previous year and the highest number on record.
Over the same period, the company recorded more than 27,800 potential buyers entering the market enquiring about ABC listings, while fewer businesses came up for sale, a clear sign that demand is now outstripping supply.
ABC Managing Director Chris Small says the current imbalance between buyers and sellers is creating strong competition for well-prepared businesses, but timing the market perfectly is difficult.
“Right now, good businesses that are well prepared are getting strong interest because there are more buyers than sellers,” he said.
“But we also see owners wait for one more strong year of profit before they sell, and sometimes the market changes in that time. Interest rates move, banks tighten lending, or buyer confidence drops, and the value they were hoping to achieve isn’t there anymore.”
Why preparation matters more than timing
Over the past four decades, ABC has facilitated the sale of more than 10,000 businesses worth over $4 billion.
That history has given the company a long-term view of how business ownership, buyer behaviour and the sale process itself has changed in New Zealand.
ABC founder Steve Smith says the biggest shift over that time has been the increasing complexity of selling a business.
“Due diligence became the norm. Everyone became more thorough. Lawyers and accountants really get involved now, so it’s become way more complex,” Smith said.
But while the process has become more structured and professional, the human side of selling a business has not changed.
“It’s a very emotive business we deal with. If you ever forget that, you’re not going to succeed. It’s not all about logic.”
Small says one of the biggest lessons from 40 years in the industry is that selling a business is rarely just a financial decision.
“Behind every one of those numbers is a business owner and a new purchaser whose lives changed because a deal got done,” Small said.
“That’s something we’re particularly proud of, because when a business sells successfully, it usually means someone is moving into the next stage of their life, and someone else is stepping into an opportunity.”
Why broker experience matters
ABC General Manager James Sheppard says one of the biggest misconceptions owners have is that selling a business is just about finding a buyer.
“Anyone can advertise a business for sale. The hard part is holding a deal together through due diligence, finance, landlord approvals and negotiations, and getting it to settlement,” Sheppard said.
“That’s where a lot of deals fall over, and that’s where experience really matters.”
The increasing complexity of modern business sales means many transactions now require careful structuring to ensure continuity for staff, suppliers and customers.
“These days it’s rarely just about finding a buyer and agreeing on a price. It’s about structuring a deal properly so the business continues to perform, staff are looked after and both parties can move forward with confidence,” Sheppard said.
What the future of business sales looks like
After 40 years in the industry, Smith says he hopes ABC continues to lead the way and maintain the reputation the company has built over decades.
“I’d say innovation and specialisation, and that word trust comes in fairly heavily with everything we do,” he said.
“I think that ABC has always been a trailblazer in the business market. We adapt quickly. We are usually two to three years in front of other companies with the way we use technology or sales methods.”
Looking ahead, Smith says disruption and change will continue to shape the business sales market, particularly as technology changes the way businesses operate and are bought and sold.
“Disruption is on the horizon. There’s always disruptions. I think the biggest challenge going forward is technology-based, and just making sure that you still do the basics right,” he said.
“Technology is a wonderful thing, but you can rely too heavily on it. You still need the reputation, the people and the relationships. We can have all the tools, but you still need the reputation.”
Smith says while tools, technology and the market have changed significantly over the past four decades, the fundamentals of business sales have remained the same.
“If you’re not actually physically talking to people, you will not make a difference. Sending emails, you become one of 100 others. You make a difference by actually talking to people, preferably face to face, because then you are different and you will succeed,” he said.
“Embrace technology, but don’t rely on it to make your sale.”
As ABC marks 40 years in business, the company’s role has remained consistent, helping business owners navigate one of the biggest financial and personal decisions of their lives.
Behind every one of those transactions is a business changing hands, an owner moving on, and someone else stepping in to take the business forward, a process ABC has supported across New Zealand for four decades.
Starting to think about your next step?
If you’re considering selling, whether that’s now or a few years away, it helps to understand your options early.
In our experience, the best place to start is with a conversation.
With more than 70 brokers across the country, we’re here to talk through your situation and help you understand what’s possible.
Talk to an ABC broker about your business →
Find out what your business might be worth with a complimentary, confidential appraisal →
Learn how to prepare your business for sale →