Why this moment stands out
Business cashflow has improved by 0.9%, while debt-servicing costs fell 1.1%* as earlier interest-rate cuts have started to take effect. Expenses for business owners have eased more quickly than revenues, resulting in healthier margins. Healthier margins support stronger valuations, and buyers are starting to take notice.
Consumer spending is also picking up. Recreation, accommodation, cafés, and parts of retail are enjoying steadier demand, these key consumer-facing industries are often the first to attract buyer enquiry as confidence returns.
Business balance sheets remain in strong shape. Deposits have climbed 8%* year-on-year, while overall debt growth is stabilising. This level of liquidity matters: it tells us that businesses aren’t just surviving, they’re healthy enough for buyers to feel confident to consider an acquisition.
This alignment of performance, confidence, and liquidity lays the groundwork for more active and competitive market.
A market defined by momentum
The recovery is not moving at the same pace across Australia, and this is where opportunity emerges.
Queensland takes the lead, with its improvement in business income and cashflow and buyer enquiry reflecting this. New South Wales and Victoria are close behind as consumer activity strengthens and cost pressures ease. Western Australia is recovering more slowly, which often offers buyers greater room to negotiate.
Our brokers understand these shifts. With teams positioned across the country, they use their knowledge of their local markets to to their advantage to secure the best possible outcomes for their clients.
The window ahead
Stronger GDP growth is forecast for 2026, with further rate cuts expected once inflation moderates. As borrowing conditions gradually ease and earnings stabilise, activity in the business sales market tends to follow a familiar pattern:
- Buyers step back in with intent.
- Valuations strengthen as margins improve.
- Sellers who have been waiting for stability begin preparing their exit.
A rising market creates movement, and that movement produces opportunity.
Why this matters for business owners and buyers
For sellers, this stability offers something rare: a moment where both performance and sentiment are working in your favour, giving you a great opportunity to maximise your ROI. Preparing early, tidying your financials, optimising your processes, and presenting your business’s resilience and growth potential gives you the chance to capture this advantage.
For buyers, the next 12 to 18 months represent a strategic entry point. Competition is increasing but has not yet peaked, and many businesses coming to market are stronger and more streamlined after several years of cost discipline.
The smartest decisions are rarely made by waiting for a perfect moment. They are made when market conditions align. This is your chance to make the most of the current market and enter 2026 from a position of strength.
The LINK View
At LINK, we see timing as a deliberate strategy. Australia is entering a period defined by renewed confidence, stronger business performance, and improving access to capital. The opportunity in front of buyers and sellers is real and growing. The question isn’t whether the opportunity exists, it’s whether you’re ready to take advantage of it.
For more information, get in touch with us here.
*All data has been sourced directly from Westpac Group, for more information check here and here.