Is Atlanta or Austin better for Independent Sponsors?

January 21, 2026

by a searcher from New York University - Leonard N. Stern School of Business in Orlando, FL, USA

Looking for firsthand input from folks who’ve sourced or closed $2–6M EBITDA deals as independent sponsors. **Specifically NOT looking for tech related deals** BACKGROUND: Acquired a healthcare company in Orlando in 2022 using personal equity + SBA; now focused on sourcing the next deal as an independent sponsor. Married with 2 kids (ages 4 & 9), used to live in NYC, Los Angeles and currently Orlando. We're evaluating moving to Atlanta vs. Austin as a long-term base, with the goal of having a thriving ecosystem for independent sponsor and opportunities for proprietary dealflow. My current (imperfect) take: ATLANTA appears to have deeper LMM infrastructure (brokers, IBs, advisors) AUSTIN seems easier socially and culturally, with strong operator/transplant density, but potentially thinner on pure LMM intermediaries (may require regular Dallas/Houston travel). Plus a lot of tech and VC emphasis, which is not relevant to what I'm doing. QUESTIONS Which city was easier to break into as an independent sponsor (not a fund)? In Atlanta, which neighborhoods or sub-markets actually matter for being in the deal flow? In Austin, is local sourcing sufficient, or does it realistically require a Dallas/Houston overlay? If your goal is one closed deal in 6–12 months, which city would you choose and why? Thank you!

Reply by a searcher
from The University of Texas at El Paso in Austin, TX, USA

Shiv, my two cents below. I think your framing is directionally right on both cities. Atlanta feels stronger from a pure LMM infrastructure and deal execution standpoint, while Austin punches above its weight socially and in operator density but often benefits from a Dallas/Houston extension for consistent deal flow. My opinion is that neither city is “better” in isolation success seems to come from how intentionally you build relationships within the ecosystem you choose. If you run a disciplined outreach engine, both can support a 6–12 month close; the tradeoff is whether you optimize more for density (Atlanta) or quality-of-life + regional reach (Austin).

Reply by a searcher
from University of Illinois at Urbana in Austin, TX, USA

Shiv - Focus and hard work you will get traction in either market. IMO you are (slightly) more likely to close an interesting deal in/near the geography from which you conduct your search. It is helpful to tell a seller "I'll see you tomorrow for lunch" rather than "I'll see you next week after I book a flight". Even though you may be geographically agnostic, and you can close deals from far away, I suggest you evaluate which market might work better for you personally both now and in the future and count on your grit to make you successful in the geography of your choosing. Hope this makes sense.

+2 more replies.

Join the discussion