Key Takeaways
- • A generation of aging baby boomer owners is selling small businesses such as machine shops, plumbing companies and dental practices to private equity firms, according to a New York Times opinion piece dated October 28, 2026.
- • More than half of America's small businesses have owners over 55, and these companies generate $6.5 trillion in annual revenue, with many owners lacking a succession plan.
- • Private equity firms completed over 1,500 acquisitions under $25 million in 2024, a more than 40 percent increase over the last decade.
- • Alpine Investors, an $18.5 billion San Francisco-based private equity firm, founded Apex Service Partners in 2019 to consolidate independent HVAC, plumbing and electrical companies; it now owns around 75 local brands across 46 states.
- • The author warns that unchecked consolidation of local business ownership could create a new geography of inequality, as ownership shifts from thousands of communities to a handful of cities where capital is concentrated.
Summary
A New York Times opinion piece published October 28, 2026 argues that retiring baby boomer business owners are increasingly selling their companies to private equity firms, a trend the author describes as a "silver tsunami" of ownership transfer. The article notes that more than half of America's small businesses have owners over the age of 55, and that these businesses generate $6.5 trillion in revenue each year. Many of these owners do not have a succession plan, which the author identifies as a key driver of the migration of ownership to outside investors.
The article describes the private equity playbook as straightforward: acquire a local practice, such as a downtown dentist office, at a relatively low price, combine it with similar practices across the country, and sell control of the consolidated platform at a premium. According to the author, private equity firms completed more than 1,500 acquisitions under $25 million in 2024, an increase of over 40 percent across the past decade. Firms are extending this model to other niche industries.
As an example, the piece cites Alpine Investors, an $18.5 billion private equity firm based in San Francisco, which founded Apex Service Partners in 2019 to acquire and consolidate independent HVAC, plumbing and electrical companies. Apex now owns roughly 75 local brands in 46 states. The author says similar consolidation is occurring in garage door repair and roofing.
The author argues that this shift carries broader social consequences. For new owners, the primary and often only connection to an acquired community is the profit generated by the asset, and the article warns that if the trend continues unchecked it will produce a new geography of inequality. The piece uses a case study from Mackinac Island, Michigan, to illustrate the migration of ownership. Note: the publicly available text of this article was limited to a preview, so the analysis above reflects the opinion piece's stated arguments and figures rather than a complete reading of the full text.
The article describes the private equity playbook as straightforward: acquire a local practice, such as a downtown dentist office, at a relatively low price, combine it with similar practices across the country, and sell control of the consolidated platform at a premium. According to the author, private equity firms completed more than 1,500 acquisitions under $25 million in 2024, an increase of over 40 percent across the past decade. Firms are extending this model to other niche industries.
As an example, the piece cites Alpine Investors, an $18.5 billion private equity firm based in San Francisco, which founded Apex Service Partners in 2019 to acquire and consolidate independent HVAC, plumbing and electrical companies. Apex now owns roughly 75 local brands in 46 states. The author says similar consolidation is occurring in garage door repair and roofing.
The author argues that this shift carries broader social consequences. For new owners, the primary and often only connection to an acquired community is the profit generated by the asset, and the article warns that if the trend continues unchecked it will produce a new geography of inequality. The piece uses a case study from Mackinac Island, Michigan, to illustrate the migration of ownership. Note: the publicly available text of this article was limited to a preview, so the analysis above reflects the opinion piece's stated arguments and figures rather than a complete reading of the full text.
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