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Present-day markets exhibit some of the same uncertainties witnessed during the Great Recession of 2008-2009, characterized by:

A massive real estate bubble
Mounting noncollectable mortgage debt
A steep economic downturn

While the current pandemic is undeniably disruptive, its impact is expected to be more temporary. Eventually, COVID-19 will subside, and the economy will recover. In the interim, the United States Congress is advancing a $2.0 trillion Economic Stimulus Package, a measure anticipated to pave the way for a subsequent economic expansion, as forecasted by numerous economists.

Businesses classified as essential services are poised to weather the storm with minimal disruption, including those in:

Logistics & Storage
Medical Services &Products
Aerospace & Defense
Food & Agriculture
Government Services
Financial Services
Chemical & Energy

These enterprises may even experience heightened demand for their offerings.

Throughout 2019, Private Equity Groups amassed record levels of capital, which now require deployment. However, the coronavirus outbreak has led to a significant decrease in acquisition closings. Consequently, valuations remain elevated for operating companies due to robust acquisition demand juxtaposed with diminishing supply.

At JANAS, we actively encourage Companies and their Trusted Advisors to collaborate with us to prepare to enter the market within the next 60-90 days. Our goal is to position our clients to capitalize on the buoyant market expected to ensue following the subsiding of COVID-19.

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