- The firm generates $8.0 million of gross revenue with only 4 partners, implying $2.0 million of revenue per partner.
- EBOC is 50%, indicating a substantial share of revenue is retained after operating expenses.
- The firm reports 30,000 billable hours, showing a meaningful volume of productive work supporting the revenue base.
- The partner group is tightly clustered at ages 53–54, which may support near-term continuity in ownership and management.
- The firm has 20 staff supporting 4 partners, providing leverage of approximately five staff per partner.
- EBOC is 50%, indicating only half of revenue is converting to earnings before owner compensation and leaving limited margin for valuation upside.
- The practice is heavily partner-dependent, with $2.0 million of revenue per partner across only 4 partners, which increases key-person and succession risk for a buyer.
- All four partners are clustered in the 53 to 54 age range, which creates near-term transition and continuity risk if no successor bench is already in place.
- The firm has only 20 staff supporting $8.0 million of revenue, which suggests a relatively small operating scale that may limit redundancy and post-close integration flexibility.
- Audit, tax, and consulting each represent only 3% to 4% of revenue, showing a very limited mix in those service lines and indicating that most revenue is concentrated outside the disclosed core advisory categories.
- Expand the non-compliance service mix, as audit, tax, and consulting each represent only 3%–4% of revenue, indicating substantial dependence on other service lines and room to build higher-value advisory work.
- Increase revenue per partner, which is currently $2.0 million, by improving pricing, cross-selling, or leveraging the existing 20-person staff base more effectively.
- Improve operating leverage and margin conversion, as EBOC is already 50% of gross revenue, suggesting further scale or mix improvement could translate directly into higher earnings.
- Strengthen succession and continuity planning, as all four partners are clustered at ages 53–54, creating a near-term transition opportunity that can support valuation stability.
- Grow billable capacity and utilization from the current 30,000 billable hours by adding work within the existing team or expanding capacity to support higher revenue without a proportional increase in partner count.
- The firm appears highly concentrated in a small number of partners, with 4 partners aged 53–54, creating succession and continuity risk if any partner retires or reduces involvement.
- Staffing may be tight relative to scale, with 20 staff supporting $8.0M of gross revenue and 30,000 billable hours, which can pressure delivery capacity and key-person dependence.
- Revenue mix is heavily weighted toward non-audit, non-tax work, with audit at 3%, tax at 3%, and consulting at 4%, which may indicate a narrow service profile and limited diversification across core accounting lines.
- Revenue per partner is high at $2.0M, which can be attractive but also suggests meaningful reliance on partner productivity and retention to sustain earnings.
- EBOC margin of 50% is strong, but it may be sensitive to any increase in staffing or partner costs given the current staffing and partner structure.