What It Takes to Sell a Brokerage

Peter Stefanovich, President of Left Lane Associates, shares what it takes to sell a freight brokerage, from the EBITDA most buyers need to see before they get interested to the multiples owners can realistically expect and the risks that move a valuation up or down. Peter also breaks down how Left Lane has advised on 88 transportation and logistics transactions since 2016 totaling just over $2 billion in enterprise value, how near-zero interest rates fueled the 2021 deal boom and set up the freight recession that followed, what the Montgomery ruling means for brokers and buyers, the landmark deals that shaped freight M&A from UPS buying Coyote to Echo acquiring ITS, and why he sees 2027 and 2028 as strong years to exit. This week's episode is sponsored by Epay Manager, Bitfreighter, Resolve Logistics and TrackFlo. Interested in sponsoring our podcast? Send us an email at pbj@freightcaviar.com (0:00) Intro (5:23) Building Left Lane Associates (8:00) What Makes a Brokerage Worth Buying? (13:29) What Drives Logistics M&A Cycles? (19:42 ) Why 2027 and 2028 Could Be Big for M&A (25:25) What Buyers Look for in a Brokerage (27:06) EBITDA Thresholds for Selling a Brokerage (33:14) How Logistics Companies Finance Acquisitions (38:26) How the Montgomery Case Changed M&A (43:23) Peter's Biggest Influences