New Zealand Business Sales Set to Boom?

by Richard Jacobs 16th of October, 2026

New Zealand Business Sales Set to Boom?

I have been saying that the New Zealand business sales market feels like it is waiting for something to change, I believe the period after the General Election in November will be the start of that change.

The last few years have been challenging work for many business owners, higher interest rates, rising costs and uncertainty have all taken their toll, buyers have also been cautious, and banks have not been throwing money around but there are now genuine reasons to be positive.

One of the more interesting things happening at present is the strength coming out of the South Island. Canterbury: Otago and Southland appear to be booming helped by agriculture and the rural economy. New Zealand’s primary sector remains a major export earner, and when farming does well the effect spreads wider.

Dairy returns remain strong, red meat prices are at high levels, wool has started showing some life again and, following the sale of its consumer business, Fonterra returned around $3.2 billion to shareholders, which is a lot of money going back into rural New Zealand which does not simply sit in farmers’ bank accounts.

Farmers buy vehicles and machinery, build sheds, repair equipment, use engineers, transport companies, contractors, accountants and advisers, their staff spend more locally and that confidence spreads through the wider economy.

My view is that we are already starting to see some of that strength moving north to the urban regions. The latest figures also suggest the business economy is improving with sales across New Zealand businesses up on last year and business confidence at elevated levels.

All this matters because business sales improve when sellers become more confident about going to market and buyers become more confident about taking on debt and making a major investment, in the last couple of years, both have been missing to some degree.
However, none of this means every business is suddenly booming, there are still plenty of owners doing it tough particularly where costs remain high and discretionary spending is weak. Some sectors will recover faster than others.

Of course there is still the big elephant in the room, the November General Election which regardless of political persuasion creates uncertainty and causes people to put decisions off.

I speak to owners considering selling who say, “I’ll see what happens after the election.” Buyers are doing much the same thing, for many it is simply about wanting some certainty before making a major financial decision.

Once the election is behind us one of those uncertainties disappears and if the economy continues to improve, we could have more owners prepared to sell and more buyers confident enough to buy.

There is one caution, however. I do not expect silly prices or a return to buyers purchasing anything with a set of accounts attached to it as buyers are more sophisticated and informed now and lenders will still want good cash flow and sensible debt levels.

Good businesses will still need good profits, decent systems, reliable staff, good culture and preferably not be completely dependent on the owner, but after several difficult years we are heading into a healthier business sales market in 2027.

For owners thinking about selling in the next year or two, now may be a suitable time to start getting ready.

Tags: buying business owner small business tips