M&A Advisor for Cybersecurity Services Firm Owners: 2026 Sell-Side Guide

By Christoph Totter, CT Acquisitions Managing Partner. Last reviewed: July 2026.

Owners of a cybersecurity services firm considering a 2026 exit face a market that is stratified by revenue mix, certifications, and clearance profile more than by headcount. An M&A advisor for a cybersecurity services firm is the specialist who prices those attributes for the buyer universe, runs a structured process against the roughly 30 to 40 active platform buyers, and defends the recurring-revenue narrative through diligence. This guide sets out how the market prices these firms in 2026, who is buying, which boutique advisors specialize in the vertical, and how CT Acquisitions positions among peers for lower-middle-market sellers.

Executive summary

Cybersecurity services firms with $2M to $10M adjusted EBITDA and above 60% MSSP recurring revenue would have transacted at approximately 10x to 14x adjusted EBITDA in 2024 through Q2 2026 per the Momentum Cyber Cybersecurity Almanac and AGC Partners technology commentary.

• Cybersecurity services firms with $2M to $10M adjusted EBITDA and above 60% MSSP recurring revenue would have transacted at approximately 10x to 14x adjusted EBITDA in 2024 through Q2 2026 per the Momentum Cyber Cybersecurity Almanac and AGC Partners technology commentary.
• Project-heavy or staff-augmentation cyber consultancies without recurring MSSP mix would band at 5x to 8x adjusted EBITDA per AGC Partners quarterly technology reports.
• Active platform consolidators would include Optiv (KKR and Clearlake Capital), Deepwatch (Vista Equity Partners), Trustwave (The Chertoff Group MC² Security Fund), Ntirety (Charlesbank Capital Partners), and GuidePoint Security (Sumeru Equity Partners).
• The SEC cyber disclosure rule (Item 106 of Regulation S-K) effective December 2023 has increased public-company demand for outsourced managed detection and response and virtual CISO services, per SEC press release 2023-139.
• CMMC 2.0 Level 2 certification, ISO 27001, and SOC 2 Type II attestations transfer through change of control only with careful diligence sequencing per DoD CIO CMMC guidance.
• Public comparable transactions include Palo Alto Networks’ acquisition of Talon Cyber Security in December 2023 for approximately $625M per Palo Alto Networks press release, and IBM’s sale of QRadar SaaS assets to Palo Alto Networks in 2024 per IBM newsroom.
• The right advisor is neither the largest bulge-bracket nor the smallest generalist broker; it is the boutique that has closed at least three cybersecurity services transactions in the last 24 months and can price recurring revenue, clearances, and compliance attestations with credibility.

Key findings

Recurring MSSP revenue mix above 60% would add approximately 3x to 5x turns of adjusted EBITDA versus a project-heavy peer per Momentum Cyber Almanac data and consistent with software-adjacent services benchmarks reported by PitchBook . Certification stack matters: CMMC 2.0 Level 2 plus FedRAMP Moderate authorization would meaningfully expand the buyer set to federal-facing platforms per GAO report GAO-24-106239 on federal cybersecurity contracting. Clearance-holder concentration is a discountable risk factor:.

1. Recurring MSSP revenue mix above 60% would add approximately 3x to 5x turns of adjusted EBITDA versus a project-heavy peer per Momentum Cyber Almanac data and consistent with software-adjacent services benchmarks reported by PitchBook.
2. Certification stack matters: CMMC 2.0 Level 2 plus FedRAMP Moderate authorization would meaningfully expand the buyer set to federal-facing platforms per GAO report GAO-24-106239 on federal cybersecurity contracting.
3. Clearance-holder concentration is a discountable risk factor: buyers would apply a 0.5x to 1.5x multiple compression when more than 25% of Secret and TS/SCI cleared staff are attributable to fewer than three customer contracts per DCSA guidance on facility clearance transfer.
4. The SEC cyber disclosure rule has expanded the addressable market for vCISO and incident-response retainer services, with public-company reporters filing 8-K Item 1.05 disclosures for material cybersecurity incidents per SEC final rule 33-11216.
5. Public strategic buyers price cybersecurity services at software-adjacent multiples: Palo Alto Networks’ Talon acquisition at approximately $625M represented an implied revenue multiple in the double digits per Palo Alto Networks press.
6. Private equity platform activity has consolidated around Optiv, Deepwatch, Trustwave, GuidePoint Security, and Ntirety, per company websites and PitchBook platform tracking.
7. Boutique M&A advisor concentration is narrow: Momentum Cyber, Union Square Advisors, AGC Partners, and Houlihan Lokey Technology dominate published league tables per firm websites.
8. Working capital pegs on cyber services deals frequently exclude deferred revenue on prepaid MSSP contracts, which sellers should model into net-working-capital targets before signing an LOI per AICPA revenue recognition standards under ASC 606.
9. Reps and warranties insurance pricing on cybersecurity services deals ranged from 2.8% to 3.6% of limit in 2024 to 2025 per Marsh Transactional Risk insights.
10. Section 1202 Qualified Small Business Stock treatment was expanded under the 2025 One Big Beautiful Bill Act (OBBBA) and would permanently raise the per-issuer exclusion cap to $15M with holding-period tiers per IRS guidance.

What M&A multiples do cybersecurity services firms command by size in 2026?

Multiples in this table would reflect adjusted EBITDA on a trailing-twelve-months basis at signing, would exclude add-on rollup premiums paid by platforms above 15x, and would exclude distressed transactions. Bands are drawn from the sources cited in each row and would not be a category error to average across because they measure different sub-segments. Size band (Adj. EBITDA) Recurring MSSP mix 2024 to Q2 2026 multiple range Source $500K to.

Multiples in this table would reflect adjusted EBITDA on a trailing-twelve-months basis at signing, would exclude add-on rollup premiums paid by platforms above 15x, and would exclude distressed transactions. Bands are drawn from the sources cited in each row and would not be a category error to average across because they measure different sub-segments.

Size band (Adj. EBITDA)	Recurring MSSP mix	2024 to Q2 2026 multiple range	Source
$500K to $2M	Below 40%	4x to 6x	AGC Partners tech quarterly
$500K to $2M	Above 60%	7x to 10x	Momentum Cyber Almanac
$2M to $10M	Below 40%	5x to 8x	AGC Partners tech quarterly
$2M to $10M	Above 60%	10x to 14x	Momentum Cyber Almanac
$10M to $25M	Above 60%	12x to 16x	Houlihan Lokey tech coverage
$25M+	Above 70% MSSP or platform	14x to 20x+	PitchBook platform tracking

For a peer-level view of managed security service provider valuations, see the CT MSSP M&A Multiples 2026 guide, which unpacks recurring-revenue quality attributes and their multiple impact by cohort.

What moves the multiple in 2026

The following drivers would compound: a firm with three of the top five drivers in place would typically clear the upper band of its size cohort, while a firm missing more than three would typically clear the lower band. This ranking is drawn from repeat-buyer feedback compiled in Momentum Cyber Almanac and AGC Partners commentary. Recurring revenue percentage of total revenue. MSSP, MDR, XDR-as-a-service, and vCISO retainers priced on annual.

The following drivers would compound: a firm with three of the top five drivers in place would typically clear the upper band of its size cohort, while a firm missing more than three would typically clear the lower band. This ranking is drawn from repeat-buyer feedback compiled in Momentum Cyber Almanac and AGC Partners commentary.

1. Recurring revenue percentage of total revenue. MSSP, MDR, XDR-as-a-service, and vCISO retainers priced on annual or multi-year contracts. Above 60% is the multiple-inflection threshold per Momentum Cyber.
2. Net revenue retention (NRR) among top 20 accounts. Above 110% NRR would signal expansion economics comparable to SaaS peers per PitchBook software services benchmarks.
3. Customer concentration. Top 5 customers below 30% of revenue would remove the customary buyer haircut per AGC Partners quarterly commentary.
4. Certification stack. CMMC 2.0 Level 2, ISO 27001, SOC 2 Type II, FedRAMP Moderate, and StateRAMP where relevant.
5. Clearance-holder mix. Facility Clearance, Secret and TS/SCI holders as a percentage of billable headcount per DCSA guidance.
6. Vendor and platform partnerships. MSP partner status with CrowdStrike, SentinelOne, Microsoft Security, Palo Alto Networks, and Splunk would signal buyer-ready channel economics.
7. Gross margin on managed services. Above 55% gross margin on the MSSP book would signal engineering leverage per PitchBook software services benchmarks.
8. Delivery model automation. SOAR playbooks, XDR platform ownership, and automation coverage percentage of L1 alerts.
9. Sales motion. Marketing-qualified lead volume, ARR bookings mix, and channel versus direct.
10. Rule of 40 for the recurring book. Growth plus adjusted EBITDA margin above 40 on the recurring book would signal software-adjacent economics per BVCA and PitchBook benchmarks.
11. Contract length and auto-renewal. Weighted-average contract length above 24 months.
12. Geographic diversification. Federal, SLED (state, local, education), commercial, and international mix.
13. Incident-response bench. Retainer revenue plus surge capacity via subcontractors.
14. Key-person exposure. Founder-CEO delivery role, principal engineer bus-factor risk, and CISO customer relationships.
15. Insurance and cyber liability limits. Errors and omissions plus tech E&O plus cyber liability limits appropriate to contract obligations.

Who are the active buyers of cybersecurity services firms in 2026?

The buyer universe splits into three tiers: private-equity-backed platforms actively rolling up, publicly traded strategic acquirers, and family offices with cybersecurity thesis mandates. Named entities in this section are cited to their official websites, PitchBook records, or public press.

The buyer universe splits into three tiers: private-equity-backed platforms actively rolling up, publicly traded strategic acquirers, and family offices with cybersecurity thesis mandates. Named entities in this section are cited to their official websites, PitchBook records, or public press.

Private-equity-backed platform buyers

• Optiv, backed by KKR and Clearlake Capital since a 2017 recapitalization per company disclosures, is one of the largest cybersecurity solutions integrators and continues acquiring adjacent services capabilities.
• Deepwatch, backed by Vista Equity Partners following a 2022 growth investment reported at approximately $1B enterprise value per PitchBook, focuses on managed detection and response.
• Trustwave, acquired by The Chertoff Group’s MC² Security Fund from Singtel in a 2024 transaction per company press releases, operates a global MSSP platform.
• GuidePoint Security, backed by Sumeru Equity Partners per firm disclosures, is a cybersecurity solutions provider with a strong federal and commercial presence.
• Ntirety, backed by Charlesbank Capital Partners per company website, offers compliant managed cloud and cybersecurity.
• Cyderes, formed by the merger of Herjavec Group and Fishtech Group with backing from Sumeru Equity Partners, operates as an identity-focused MSSP.
• Kudelski Security, a subsidiary of Kudelski Group (SIX: KUD), operates a global managed security services business.
• Fortra, backed by Harvey & Company and Charlesbank Capital Partners per company disclosures, has been aggregating cybersecurity software and services since the HelpSystems rebrand.

Publicly traded strategic buyers

• Palo Alto Networks (NASDAQ: PANW) acquired Talon Cyber Security in December 2023 for approximately $625M and QRadar SaaS assets from IBM in 2024 per IBM newsroom.
• CrowdStrike (NASDAQ: CRWD) has selectively acquired services and platform adjacencies per company 10-K filings on SEC EDGAR.
• Accenture Security (NYSE: ACN) and IBM Consulting Cybersecurity (NYSE: IBM) periodically acquire boutique cyber services firms with federal or industry vertical depth.
• Deloitte and PwC Cyber practices acquire vertical-specific boutiques in healthcare, financial services, and industrial sectors.
• Leidos (NYSE: LDOS), CACI (NYSE: CACI), and SAIC (NYSE: SAIC) acquire federal cyber services firms with cleared workforces.

Family offices and independent sponsors

A growing tier of family offices sponsors specialty cybersecurity services holdings, typically at $2M to $10M EBITDA entry. This tier prices differently from platform PE, often with longer hold horizons and less-aggressive leverage. Owners deciding between buyer types can compare Family Office vs PE Buyer and Search Fund Buyer vs PE Buyer in the CT context.

Which boutique M&A advisors specialize in cybersecurity services?

The named boutique advisors below have publicly disclosed cybersecurity services mandates and publish research or league tables covering the sector. This section names only firms verifiable via their own websites and public disclosures. Positioning is neutral and factual.

The named boutique advisors below have publicly disclosed cybersecurity services mandates and publish research or league tables covering the sector. This section names only firms verifiable via their own websites and public disclosures. Positioning is neutral and factual.

Momentum Cyber

Momentum Cyber is the recognized boutique dedicated exclusively to cybersecurity M&A and publishes the annual Cybersecurity Almanac. The firm covers both product and services transactions across founder-led, growth-stage, and mature cyber businesses.

Union Square Advisors

Union Square Advisors is a technology-focused investment bank whose coverage includes cybersecurity, software, and IT services mandates.

AGC Partners

AGC Partners operates an active cybersecurity technology practice and publishes quarterly technology-sector commentary that covers cyber transaction volumes and disclosed multiples.

Houlihan Lokey Technology Group

Houlihan Lokey (NYSE: HLI) Technology Group covers larger MSSP and cyber platform transactions with global reach and dedicated financial sponsor coverage.

Corum Group

Corum Group covers software and technology sell-side mandates including cybersecurity software sellers, with published research and events focused on the tech transaction market.

How is CT Acquisitions positioned in the cybersecurity services market?

CT Acquisitions is a lower-middle-market M&A advisory firm focused on transactions with $1M to $50M enterprise value and owner-aligned fee structures. For cybersecurity services owners in the $500K to $10M EBITDA band, CT provides a specialist alternative to bulge-bracket coverage without the generalist-broker weaknesses common in lower-middle-market cyber deals. Where Momentum Cyber, Union Square Advisors, AGC Partners, Houlihan Lokey, and Corum Group compete for larger platform mandates, CT positions itself.

CT Acquisitions is a lower-middle-market M&A advisory firm focused on transactions with $1M to $50M enterprise value and owner-aligned fee structures. For cybersecurity services owners in the $500K to $10M EBITDA band, CT provides a specialist alternative to bulge-bracket coverage without the generalist-broker weaknesses common in lower-middle-market cyber deals.

Where Momentum Cyber, Union Square Advisors, AGC Partners, Houlihan Lokey, and Corum Group compete for larger platform mandates, CT positions itself as another lower-middle-market option specializing in sell-side M&A advisory for founder-owned firms. CT is not the largest firm and does not claim to be the best. CT is an LMM-focused option owner-aligned on fees. For a full menu of CT engagement types, see the M&A Advisory pillar.

Owners weighing broker versus advisor economics can compare fee structures via M&A Advisor Fees 2026 and M&A Advisor vs Business Broker.

How the sell-side process works for a cybersecurity services firm

A cybersecurity services sell-side process for a firm in the $2M to $10M EBITDA band would typically run five to seven months from advisor engagement to closing. The process is compressed at the top end when a platform buyer bilaterally preempts the market and extended at the bottom end when clearance transfer or CMMC recertification is a diligence blocker. The following is a representative month-by-month sequence.

A cybersecurity services sell-side process for a firm in the $2M to $10M EBITDA band would typically run five to seven months from advisor engagement to closing. The process is compressed at the top end when a platform buyer bilaterally preempts the market and extended at the bottom end when clearance transfer or CMMC recertification is a diligence blocker. The following is a representative month-by-month sequence.

Month 1: preparation and quality of earnings

Advisor engagement letter signed, sell-side quality of earnings started with an independent QoE firm, adjusted EBITDA schedule normalized to include one-time expense addbacks and true recurring revenue reclassification. See the CT Quality of Earnings Report Seller Deep Dive for scope and cost norms.

Month 2: teaser, CIM, and buyer list

Confidential information memorandum drafted with recurring-revenue segmentation, certification stack summary, cleared-personnel roster on aggregate basis without personally identifying information, and revenue by contract type. Buyer list built to approximately 60 to 100 targeted parties across PE platforms, strategics, and family offices.

Month 3: buyer outreach and management meetings

Teasers distributed under NDA, CIM released to executed-NDA parties, first-round indications of interest requested. Management meetings scheduled with second-round bidders. See the CT Investment Banking Process for Selling a Company guide for typical timing and buyer count norms.

Month 4: LOIs and buyer selection

Letters of intent negotiated with two to three finalists, exclusivity granted to the selected buyer. See the CT Business Sale LOI Template Seller guide for the seller-favorable terms to negotiate at LOI, including no-shop duration, deposit, and expense reimbursement.

Month 5 to 6: confirmatory diligence

Buyer confirmatory diligence covers financial (QoE reverification), commercial (customer references, market sizing), operational (delivery model, SOC operations), technical (tooling, architecture), and legal (contracts, IP, licenses). Cyber-specific diligence covers CMMC and SOC 2 attestation continuity, facility clearance transfer under DCSA guidance, cyber insurance limits, and prior-incident disclosure. See the CT Due Diligence Checklist.

Month 7: definitive documentation and closing

Purchase agreement, disclosure schedules, employment agreements, rollover documentation, and reps and warranties insurance binder finalized. Closing conditions cleared including any third-party consents on customer contracts with change-of-control triggers. Escrow and working capital true-up mechanics executed.

What regulatory and structural mechanics apply to cybersecurity services M&A in 2026?

SEC cyber disclosure rule

The SEC final rule 33-11216, effective December 2023, requires public-company registrants to file 8-K Item 1.05 disclosures within four business days of determining a cybersecurity incident is material, and to include Item 106 cybersecurity risk management and governance disclosures in annual 10-K filings per SEC press release 2023-139. This has expanded demand for outsourced managed detection and response, virtual CISO retainer services, and incident response readiness engagements from public-company clients.

CMMC 2.0

The Department of Defense CMMC 2.0 program requires Cybersecurity Maturity Model Certification for defense industrial base contractors. Level 2 (aligned to NIST SP 800-171) applies to contractors handling Controlled Unclassified Information and is a common threshold for MSSP contract eligibility. Level 3 applies to programs handling higher-sensitivity CUI. Certification is issued by a Certified Third-Party Assessor Organization (C3PAO) and does not automatically transfer upon change of control; buyers require diligence on the certification path and any post-close recertification.

FedRAMP and StateRAMP

FedRAMP Moderate or High authorization applies to cloud service offerings used by federal agencies, per the GSA. StateRAMP is the analogous state-and-local program. Cyber services firms that operate authorized cloud platforms or manage FedRAMP-authorized third-party platforms would command a premium multiple in the federal buyer universe per GAO report GAO-24-106239.

Facility Clearance transfer

Facility Clearance transfer through change of control is governed by the Defense Counterintelligence and Security Agency (DCSA) under the National Industrial Security Program. A change of ownership requires a Sponsor letter, Foreign Ownership Control and Influence (FOCI) mitigation review, and typically a 60 to 120 day pre-close notification. Deals with foreign buyers face additional CFIUS review under the Foreign Investment Risk Review Modernization Act (FIRRMA).

SOC 2 and ISO 27001

SOC 2 Type II attestation continuity through change of control requires that the successor entity maintain the control environment in place at the time of the attestation. ISO 27001 certification transfer is typically handled by the certifying body via a certificate transfer or reissuance procedure. Both attestations should be flagged early in diligence as customer-contract compliance conditions.

Tax structure and QSBS

Section 1202 Qualified Small Business Stock treatment was expanded under the 2025 One Big Beautiful Bill Act (OBBBA), which per IRS revenue rulings would permanently raise the per-issuer gain exclusion cap to $15M and introduce holding-period tiers of three, four, and five years for partial and full exclusion. Cybersecurity services owners holding qualifying C-corporation stock should model the QSBS impact into after-tax proceeds analysis.

How to choose an M&A advisor for a cybersecurity services firm

Vertical closings in the last 24 months. Ask for at least three cybersecurity services closings the advisor personally led, with buyer type disclosed. Recurring-revenue narrative. Ask how the advisor would present MSSP recurring revenue, ARR bookings, and NRR to buyers. Weak advisors default to blended revenue growth. Certification and clearance expertise. Ask how they would sequence CMMC recertification and Facility Clearance transfer through diligence. Buyer coverage. Ask for the specific.

1. Vertical closings in the last 24 months. Ask for at least three cybersecurity services closings the advisor personally led, with buyer type disclosed.
2. Recurring-revenue narrative. Ask how the advisor would present MSSP recurring revenue, ARR bookings, and NRR to buyers. Weak advisors default to blended revenue growth.
3. Certification and clearance expertise. Ask how they would sequence CMMC recertification and Facility Clearance transfer through diligence.
4. Buyer coverage. Ask for the specific PE platforms and strategics the advisor has direct partner-level relationships with in cyber.
5. Fee structure. Standard is a small retainer plus a success fee tiered from single-digit percentage on the first tranche to lower percentages on higher tranches, with equity kickers or bonus tiers above target. See M&A Advisor Fee Structure.
6. Retainer size. A $25K to $75K retainer is customary for a $2M to $10M EBITDA sell-side mandate. See M&A Advisor Retainer Guide.
7. Team depth. Confirm the analyst, associate, and vice president staffing on the deal, not just the partner.
8. Quality of earnings partner. A specialist advisor should recommend a specific QoE firm with cyber services experience, not a generalist mid-market accounting practice.
9. Confidentiality controls. Ask how the advisor manages CIM distribution and customer-name disclosure, given cyber firms’ reputational sensitivity.
10. Reference checks. Speak with two owners of similar-sized cyber services firms the advisor closed in the last three years.
11. Chemistry. Sell-side processes run five to seven months. Confirm the lead partner is the person you would work with weekly, not just the pitch presenter.
12. Post-close experience. Ask how the advisor supports the transition through earnouts, escrow releases, and post-close working-capital true-ups.

For adjacent verticals, owners can compare positioning with the CT vertical advisor pages: M&A Advisor for SaaS Business and M&A Advisor for MSP Business.

What EBITDA multiples apply by deal size in 2026?

EBITDA multiples for lower middle market businesses vary by size, buyer type, and vertical. The table below shows typical bands for privately-held sellers in 2026 based on GF Data and Axial 2025 benchmarks.

EBITDA size band	Typical multiple	Dominant buyer type
$500K to $1M	3.0x to 4.5x	Individual buyers, ETA, small local PE
$1M to $3M	4.0x to 6.0x	Search funds, small PE, family offices
$3M to $10M	5.5x to 8.0x	Lower middle market PE, strategic tuck-ins
$10M to $25M	7.0x to 10.5x	Middle market PE platforms, strategic acquirers

Frequently asked questions

What multiple would a cybersecurity services firm sell for in 2026?

A cybersecurity services firm with $2M to $10M adjusted EBITDA and above 60% MSSP recurring revenue would have transacted at approximately 10x to 14x adjusted EBITDA in 2024 through Q2 2026 per Momentum Cyber Almanac and AGC Partners commentary. Project-heavy consultancies band at 5x to 8x. Multiple bands depend heavily on recurring mix, certifications, and clearance profile.

Which PE firms are buying cybersecurity services companies?

Active platforms include Optiv (KKR and Clearlake), Deepwatch (Vista), Trustwave (The Chertoff Group MC² Security Fund), GuidePoint Security (Sumeru), Ntirety (Charlesbank), Cyderes (Sumeru), and Kudelski Security, per firm disclosures and PitchBook.

Which boutique M&A advisors specialize in cybersecurity?

Momentum Cyber is the pure-play cyber boutique. Union Square Advisors, AGC Partners, and Corum Group are technology-focused advisors with active cyber practices. Houlihan Lokey Technology covers larger MSSP and platform transactions.

How long does a sell-side process take for a cybersecurity firm?

Typically five to seven months from engagement letter to closing. Preparation and QoE take month 1, marketing runs months 2 and 3, LOI negotiation month 4, confirmatory diligence months 5 and 6, and closing month 7. Cleared-personnel and CMMC diligence can extend the confirmatory phase.

Do CMMC and SOC 2 certifications transfer through a sale?

CMMC 2.0 certification does not automatically transfer under DoD CIO CMMC guidance; buyers typically require a recertification pathway diligenced pre-close. SOC 2 Type II attestations survive change of control only if the successor entity maintains the control environment; buyers require attestation continuity as a diligence condition.

How does the SEC cyber disclosure rule affect deal value?

The SEC cyber disclosure rule (Item 106 of Regulation S-K and 8-K Item 1.05) has expanded public-company demand for outsourced MDR, vCISO, and incident-response retainer services. Cybersecurity services firms with public-company client concentration would have benefited from this tailwind since December 2023 per SEC press release 2023-139.

What is the typical M&A advisor fee for a $5M EBITDA cybersecurity firm?

A representative fee structure would include a $25K to $75K non-refundable retainer credited against success fee, plus a tiered success fee typically in the 3% to 6% range on the base transaction value, with modifiers for enterprise-value tranches above target. See CT’s M&A Advisor Fees 2026 for a full breakdown.

Should I hire an M&A advisor or a business broker?

Business brokers typically handle transactions below $1M enterprise value and price on a percentage-of-transaction basis without a structured process. M&A advisors run a structured sell-side process, produce a CIM, contact institutional buyers, and negotiate against multiple bids. For cybersecurity services firms above $2M EBITDA, an M&A advisor would typically clear a higher price than a broker. See M&A Advisor vs Business Broker.

Methodology and data sources

This guide draws on published cybersecurity M&A datasets including the Momentum Cyber Cybersecurity Almanac, AGC Partners quarterly technology sector commentary, Houlihan Lokey technology group coverage, PitchBook platform tracking, and public SEC filings via SEC EDGAR . Regulatory citations reference the SEC final rule 33-11216 on cybersecurity disclosure, DoD CIO CMMC 2.0 program documentation, FedRAMP program guidance, DCSA Facility Clearance guidance, and CFIUS under FIRRMA . Tax citations reference the 2025.

This guide draws on published cybersecurity M&A datasets including the Momentum Cyber Cybersecurity Almanac, AGC Partners quarterly technology sector commentary, Houlihan Lokey technology group coverage, PitchBook platform tracking, and public SEC filings via SEC EDGAR. Regulatory citations reference the SEC final rule 33-11216 on cybersecurity disclosure, DoD CIO CMMC 2.0 program documentation, FedRAMP program guidance, DCSA Facility Clearance guidance, and CFIUS under FIRRMA. Tax citations reference the 2025 One Big Beautiful Bill Act and IRS revenue rulings. Reps and warranties insurance pricing draws from Marsh Transactional Risk published insights.

Multiple bands are stated in conditional tense because private-company transactions are not publicly disclosed at the sub-$50M level and any specific range would reflect a distribution of outcomes rather than a single price. Blending revenue and adjusted EBITDA multiples across size cohorts would be a category error and this report keeps them separate.

Disclaimer: This guide is not an appraisal, not investment advice, not legal advice, not tax advice, not financial advice, and not a prediction. Business owners considering a transaction should engage qualified counsel, tax advisors, and licensed M&A professionals. Any multiple range in this guide reflects a source-attributed observation of past market conditions and does not guarantee any specific outcome for any specific business. Named third-party firms are referenced factually from public sources; no endorsement, partnership, or affiliation is implied.