The M&A Watch is a quarterly publication offering analysis of the marketplace and climate for middle market mergers, acquisitions and strategic transactions. The goal of this publication is to arm business owners and other parties with insight to help prepare for such transactions in order to maximize transaction outcomes.

We crossed the 2018 finish line with plenty of fuel for M&A in 2019. Deal flow is still solid, albeit a bit slower than during the first quarter of 2018. The drop in multiples in Q1 2019 was very similar to that of the first quarter of 2018, which followed the strong fourth quarter of 2017; we have definitely seen this pattern before, which in the past has led into strong quarterly performance as the year unfolds.

Here are a few top takeaways Q1:

1. The US economy grew by an annualized 3.2 percent in the first quarter of 2019.
2. Stable Fed rates fuel M&A related borrowing.
3. Favorable macroeconomic indicators bolster both M&A and business sentiment.

View the full report here.