Over the past decade, the Italian business landscape has changed significantly. According to Unioncamere, the share of turnover generated by micro and small enterprises (with fewer than 50 employees) fell from 49% to 42% between 2014 and 2024. Meanwhile, mid-sized businesses gained two percentage points and large corporations five (Unioncamere, 2025). Behind these numbers is a clear signal: size matters now more than ever, and staying small is no longer sustainable.

When small becomes a liability

Italian SMEs remain the backbone of the national economy. Yet they increasingly struggle with systemic issues: limited access to skilled talent, inability to scale, high technology investment costs, and pressure from more structured competitors.

A global trend toward consolidation is amplifying this pressure. Mid-sized and large companies are proving more resilient, more attractive to investors, and better equipped to manage market volatility. Many SMEs now find themselves stuck in a difficult position: too large to operate like craftsmen, too small to scale effectively.

M&A as a strategic tool for independence

In Italy, M&A is still often perceived as the domain of multinationals or large financial groups. But that mindset is changing. Today, even SMEs can and should use mergers and acquisitions to grow, defend their independence, and accelerate transformation.

Selling a stake, acquiring a complementary business, or merging with a strategic partner is not about giving up control. It is about:

• entering new markets
• integrating new technologies or skills
• scaling operations
• strengthening competitiveness

It is not about buying or selling, but about building something stronger.

The value of synergies

The real value of an acquisition often lies in the synergies it enables. Here are some of the most impactful:

1. Economies of scale: sharing infrastructure and resources reduces operating costs and improves margins.
2. Complementary offerings: acquiring a related company helps expand the product range and reach new segments.
3. Access to technology and know-how: M&A allows SMEs to adopt innovation without internal development cycles.
4. Stronger bargaining power: larger businesses gain influence with suppliers, customers and financial institutions.

Italian SMEs are already moving

In 2024, Italian SMEs completed 280 M&A deals worth a total of €14.3 billion, a significant increase over previous years (Benedetti & Co., 2025). Of these, 48 were cross-border acquisitions, up 40 percent year-on-year. The UK and Spain were the top destinations, followed by France and Germany (DealFlower, 2025).

This trend confirms that M&A is no longer exclusive to large groups. Italian SMEs are using it as a tool for growth, innovation, and international expansion.

It is not about being bigger, it is about being stronger

Growing through acquisition is not about chasing scale for its own sake. It is about overcoming structural limitations and building a more competitive and resilient business.

The mindset shift is critical: M&A is not a loss of control, it is a way to protect what has been built and make it future-ready.

Conclusion

In today’s global economy, standing still is no longer an option. For Italian SMEs, M&A is a necessary and strategic lever for growth and survival. It is not just a possibility, it is an opportunity to lead rather than follow.