If you sell products or services to franchise car dealerships, your customer base is changing faster than ever. In 2025, dealership buy-sell transactions hit record levels — and 2026 is projected to be even busier.

The Numbers

445+
Completed deals through Q3 2025 trailing twelve months
11.4%
Compound annual growth rate since 2019
75%
Above pre-pandemic blue sky averages

The trailing twelve-month transaction count through Q3 2025 reached 445 completed deals — an 11.4% compound annual growth rate since 2019, per Kerrigan Advisors' Blue Sky Report. The first half of 2025 alone saw 220 completed transactions.

Dealership blue sky values are now 75% above pre-pandemic averages. Industry earnings are 83% above pre-pandemic levels.

These aren't small deals. Major transactions in late 2025 included the sale of All-Star Automotive Group (12 rooftops, 16 franchises) to Hudson Automotive Group, and the Herb Chambers acquisition by Asbury Automotive.

Why It's Accelerating

Dealer sentiment is the most positive it's been since 2021. Kerrigan's survey of 500+ dealers shows 29% feel more optimistic about 2026 than 2025 — the first time optimism returned in three years.

Capital markets remain strong. Buyer groups have substantial cash reserves from elevated pandemic-era profits. Regional consolidation is the dominant pattern: 65% of first-half 2025 buyers were expanding within their existing footprints — tuck-in acquisitions, not new market entries.

Expensive OEM image programs from Ford, Chevy, Buick GMC, Subaru, and Honda are pushing smaller dealers to sell rather than invest millions in facility overhauls. The math often favors the exit.

Ultra-luxury transactions surged — 15 to 20 stores are expected to change hands in 2025, up from just 6 in 2024. And Southern states like Florida and Texas remain the epicenter of activity, driven by population growth and favorable tax structures.

What This Means for Vendors

Every ownership change is a risk to your existing vendor relationships. New owners bring their own vendor preferences, renegotiate contracts, and sometimes cut existing partners entirely — before you even get a call.

At 37+ transactions per month, that's potentially 37 vendor relationships disrupted every 30 days across the industry.

The vendors who know about ownership changes first have a real competitive advantage. They can reach out to new owners before competitors do, protect existing accounts, and pitch to incoming ownership groups while the slate is still blank.

Waiting for word-of-mouth or checking LinkedIn is too slow. By the time you hear about a deal through your network, your competitor may have already made contact.

How The Buy-Sell Report Helps

The Buy-Sell Report tracks every franchise dealership buy-sell, closure, and new opening across the United States. We aggregate data from public records, press releases, and industry news to provide a single searchable database of ownership changes.

For $20/month, you get access to the same intelligence that used to require expensive trade publication subscriptions or industry connections. New events are added daily. Filter by state, brand, event type, or date range.

Stop being the last to know when your customers change hands. Subscribe to The Buy-Sell Report at thebuysellreport.com.