We've recently sold four different DoD contracting companies in different areas of the country. For each client, we received multiple offers. Our clients and their acquirers were focused in the following areas:
Aerospace related components
Specialty vehicle components
Navy related navigational aides
Specialty weapons components
Although our clients and their acquirers in recent transactions were focused on these sectors, other registered buyers are seeking any strong, quality manufacturers that are selling directly to the DoD, and here’s why:
In 2019, the US military spending grew by 5.3%, thus, reaching $732 billion, up from $649 billion in 2018. The sheer size of the market makes DoD Contractors an attractive acquisition target.
U.S. Military Spending
In the United States, military spending is the second-largest allocation in the federal budget, after social security.