1. How big is the M&A market for company successions in Switzerland?
Transaction Partner AG advises companies with a transaction value of between 1 and 30 million Euro. The market for company successions in this segment is significant in Switzerland, as many SMEs will be looking for a succession solution in the coming years. However, the figures typically communicated in the press should be treated with caution. The vast majority of the companies usually listed are very small and the question of whether they are worthy of succession arises for many of them. But even if we only assume a few hundred transactions in our segment, this corresponds to a market volume of several billion Swiss Francs annually.
2. How would you describe the current M&A market situation in Switzerland, especially in comparison to other European countries?
The Swiss M&A market in our segment is stable and dynamic; we cannot make any statements about other European countries as we do not know the situation precisely enough. Switzerland’s economic and political stability, coupled with a strong SME landscape, is attracting investors. While other markets are struggling with uncertainties, Switzerland remains a favoured location, primarily due to its efficiency and clear legal framework. The fact that shares held as private assets (AG/GmbH) can be sold tax-free in Switzerland makes a sale even more attractive for owners.
3. Why have transaction times in Switzerland fallen in contrast to other countries?
The shorter transaction times in Switzerland can be attributed to several factors: Firstly, the good demand on the buyer side. Secondly, the high level of professionalism and efficiency of the parties involved. Thirdly, the availability of modern technologies such as data rooms and specialised platforms that speed up the process. These factors minimise delays and enable faster processing.
4. What are currently the biggest hurdles in M&A transactions?
One of the biggest challenges is financing at higher valuations and, in this context, the availability of qualified and financially strong successors or buyers, especially for smaller companies.
5. What are your expectations for the future development of the Swiss M&A market?
I expect the M&A market in Switzerland to continue to grow, driven by demographic change and digitalisation. The transaction volume will increase as many entrepreneurs want to actively organise their succession. Digitalisation will also continue to increase and is one of the most important drivers.
6. What added value does your platform offer for M&A transactions?
Our “nachfolgeportal.ch” platform offers customised solutions to reduce the complexity of M&A transactions and is also aimed at smaller companies. We use modern technologies to speed up the process and increase transaction security. We connect sellers and buyers efficiently while offering discretion and transparency.
7. To what extent has digitalisation changed M&A processes, and what role do modern technologies such as data rooms play in this?
Digitalisation has revolutionised M&A processes by increasing transparency and efficiency. Data rooms enable the secure exchange of confidential information, which significantly speeds up due diligence processes. In addition, digital platforms and data rooms facilitate access to international buyers and thus significantly expand market opportunities.
8. What strategies are Swiss companies pursuing to meet the increasing requirements for data protection and compliance?
So far, Switzerland has made a name for itself in the SME sector with more or less pragmatic solutions. I hope it remains that way.
