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In a recent testimony before the House Financial Services Committee, Janet Yellen, chair of the Board of Governors of the Federal Reserve System, indicated that an interest rate hike looms on the horizon.
The good news is any increases to the federal funds rate target are expected to happen gradually. But many in the business-for-sale marketplace are already asking how higher rates will impact buyer behavior.
The answer may not be as straightforward as it seems. Why? Because even though it seems like higher rates will discourage borrowing, it's possible that incremental rate increases could boost lending for business acquisitions.
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