Survey shows owners preparing exits and partnerships, with continuity and growth driving deal decisions but tax implications among the key challenges.
A growing share of US privately held companies are laying the groundwork for ownership changes, as leaders increasingly focus on long-term continuity and their readiness for market transactions.
The 2025 Private Company Outlook: Market Readiness report from Deloitte Private finds that many private company executives expect to pursue a sale or ownership transfer in the near term with almost six in 10 respondents who anticipate a transaction saying it is likely to occur within the next one to three years.
Ensuring the future stability of the business is the dominant motivation behind those plans with 40% of participants in the survey citing continuity as their primary reason for considering a sale or transfer, well ahead of generating liquidity for the business or its owners. The findings suggest that succession planning and long-term stewardship are outweighing purely financial considerations for many owners.
While interest in transactions is rising, preparedness remains uneven with around half of companies that expect to sell saying they are ready to undergo due diligence, while many still anticipate relying on outside advisors to guide them through the process.
Tax exposure looms large, with respondents pointing to taxes on recognized gains and transfer taxes as two of the most significant challenges associated with a sale.
Beyond succession concerns, strategic ambitions are also shaping deal activity. Many executives said they would consider a transaction to bring in a partner capable of scaling the business or to attract financial sponsors that could help accelerate growth.
“As these private company leaders increasingly look to transactions as a pathway to business continuity and growth, they are approaching each decision with careful consideration — closely evaluating market conditions, organizational readiness, and tax implications,” says Wolfe Tone, US Deloitte Private leader. “Whether pursuing a full or partial sale in the years ahead, their priorities seem clear: managing transitions to safeguard stability, fuel expansion, and create lasting value for owners and other stakeholders alike.”