Global virtual data room provider Firmex has released its 2024-2025 M&A Fee Guide, a report informed by over 450 M&A professionals worldwide on fee raises, strategies, and structures. The report outlines the difficulties M&A advisory firms faced in 2024, with fewer raising their fees than in 2023, but it also highlights some creative approaches firms have taken to balance profitability with client demand and a positive outlook for the year ahead.
TORONTO, March 2, 2025 /PRNewswire-PRWeb/ — Firmex, the most-used global virtual data room provider, has released its 2024-2025 M&A Fee Guide. This is the eighth year Firmex has produced this valuable resource for M&A professionals, gathering diverse perspectives and expert commentary to build a comprehensive look at the current state of the middle market.
As M&A activity fluctuates during economic and geopolitical uncertainty, it’s critical for M&A practitioners and businesses to know how to valuate their work and balance profitability with market demand. Firmex simplifies this task with the M&A Fee Guide, sharing helpful insights into expectations, negotiations, structuring, and associated practices surrounding M&A fees. Partnering with M&A experts at Axial, DealCircle, and Divestopedia, the Firmex M&A Fee Guide is the quintessential reference point for firms planning their 2025 strategies.
“Our eighth annual fee survey met M&A practitioners during a year of transition. With interest rates expected to fluctuate, advisors were planning ahead while also adapting to current economic conditions,” said Mark Wright, Firmex’s General Manager.
Key highlights from the report:
- Despite rising costs, middle-market merger advisors found it harder to raise fee levels in 2024 than they did in 2023.
- Only 34% of firms said they raised at least one type of fee last year, compared to 47% the prior year.
- Half of all firms surveyed grew their revenue last year.
- Profitability levels remained roughly the same as in last year’s survey, with about one-third reporting increases.
- The most typical monthly work fees and fixed up-front retainers saw a slight increase.
- The average success fee fell for smaller deals but remained constant for larger transactions.
- More firms than in 2023 agreed to deduct work fees from success fees and to delay fee payments when the seller is paid over time.
Read the full report on Firmex’s website.
About Firmex Inc.
Firmex is the most trusted provider of virtual data rooms where more deals, diligence, and compliance get done. Since 2006, Firmex has supported over 223,000 companies worldwide by simplifying complex processes in M&A, private equity fundraising, litigation, and more. Whenever professionals need to share sensitive documents beyond the firewall, Firmex is their trusted partner, providing bank-level security and award-winning support. For teams using a data room more than once annually, a Firmex subscription provides simple, safe, and stress-free document sharing without hidden costs or complexity. For more information, please visit firmex.com.
Media Contact
Edward Stephen, Firmex, 1 416-840-4241, [email protected], https://www.firmex.com/
SOURCE Firmex