By the Numbers: What the Latest Independent Sponsor Report Reveals About the Market
March 22, 2026 |
Corporate Blog
Top insights from recent US / European independent sponsor report (and the activity we have seen):
- PE professionals are forming their own independent sponsor firms for entrepreneurial independence, sourcing proprietary deals, and potentially higher upside.
- Since i-sponsor firm inception, average activity has been 2 platforms and 1.5 add-on deals
- 72% plan to focus exclusively as an isponsor (with no mid-term desire to raise committed funds)
- Proprietary deal sourcing remains a key isponsor differentiator for sponsors
- Typical targeted EBITDA is $3 to $7 million (48% of survey), under $3 million (24%), and then $7 to $15 million (18%).
- Top targeted industries: industrials (53%), healthcare (39%), IT (38%), business services (25%)
- Average 1:100 “close to reviewed” deals rate
- Top value drive levers: professionalization/talent upgrades; revenue growth; operational improvements
- Targeting MOICs above 3.0x and IRRs above 30%
- Most valued isponsor attributes (to capital partners) include: trust and pre-existing relationship, attractiveness of the deal, sector / vertical experience of the isponsor.
- Est. 2,500 to 3,000+ active US isponsors, and est. 500+ active European isponsors.
John Koeppel's commentary on "Inside the Independent Sponsor Market: Insights From Our 2025 Survey," White Paper
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