Pipeline by Proxy: Why Mid-Market PE Firms Are Handing Off Deal Sourcing to Outside Specialists
A quiet but consequential shift is underway in how American private equity firms build their deal pipelines. Rather than relying exclusively on internal business development teams, a growing cohort of mid-market sponsors are turning to third-party sourcing platforms and boutique advisory firms to identify and qualify acquisition targets. The economics, success rates, and talent implications of this trend deserve a closer look.