Jessica
Strategic Advisory Excellence Since 1984
Executive Dashboard
Strategic Outlook 2026–2028
$8,000,000
Annual Gross Revenue
37.50%
EBITDA Margin
$19.5M - $27M
Valuation Range
75%
Economic Profit%
4
No. of Equity Partners
$267/hr
Avg Client Rate ($/hr)
20
Total Employees
50%
Overhead as % of Revenue
Valuation-Based Strategic Position
Strengths, Weaknesses, Opportunities, Threats
Strengths
  • $8.0M of gross revenue provides meaningful scale for a buyer evaluating the platform.
  • Revenue is diversified across audit (40%), tax (40%), and consulting (20%), reducing reliance on a single service line.
  • EBOC of 50% indicates that half of gross revenue remains after direct costs, which is a material valuation support metric.
  • The firm generates 30,000 billable hours, showing a substantial operating base that supports current revenue levels.
  • With 4 partners and 20 staff, the firm has a defined operating structure that can support the existing revenue base.
  • Revenue per partner of $2.0M indicates a high level of partner productivity relative to the current partner group.
Weaknesses
  • EBOC of 50% indicates only moderate profitability, which can compress valuation versus higher-margin firms.
  • The practice is relatively small at $8.0 million of gross revenue with only 4 partners, limiting scale and potentially reducing buyer flexibility.
  • Revenue is concentrated in two core service lines, with audit at 40% and tax at 40% of gross revenue, leaving only 20% from consulting.
  • The firm has a lean staffing base of 20 staff against 30,000 total billable hours, which can heighten key-person and capacity risk if attrition occurs.
  • All partners are age 55, creating a concentrated succession risk that buyers may discount if transition timing is unclear.
Opportunities
  • Increase the share of higher-value consulting work, as consulting currently represents only 20% of revenue versus 40% audit and 40% tax, creating room to improve mix and valuation quality.
  • Expand leverage by adding staff or improving delegation, since 4 partners supported by 20 staff and 30,000 billable hours suggests partner capacity is a key constraint on scaling revenue.
  • Improve profitability through pricing and utilization discipline, given EBOC is 50% on $8.0 million of gross revenue, indicating meaningful upside from margin expansion.
  • Plan for succession and continuity around partner transition, as all 4 partners are age 55 and the firm’s value may be enhanced by reducing key-person dependence.
  • Grow revenue per partner from the current $2.0 million level by increasing throughput and service mix, which would improve scale and support a stronger valuation.
Threats
  • At $8.0 million of gross revenue with only 4 partners, the firm’s $2.0 million revenue per partner suggests meaningful key-person dependency and potential transition risk if any partner reduces involvement or exits.
  • The partner age disclosure of 55 indicates a mid-to-late career partner group, which can create succession and continuity risk if ownership transition planning is not well developed.
  • With 20 staff supporting 30,000 billable hours, the firm’s operating model appears relatively lean, which may limit capacity to absorb growth, turnover, or workflow disruption without service strain.
  • The revenue mix is concentrated in audit (40%) and tax (40%), so the firm’s earnings profile is tied to two core service lines rather than a more diversified mix, increasing sensitivity to shifts in those practices.
  • EBOC at 50% implies half of gross revenue is consumed by operating costs, leaving limited cushion if staffing, compensation, or overhead pressures rise.
Enhance Profitability

May drive premium valuation, strong cash flow, and high investor demand while supporting scalable growth and resilience.

37.50% EBITDA margin
Operational Efficiency

You are doing a great job on leverage, continue to look for opportunities to push work down to the appropriate levels, and remember that leverage is your biggest pathway to high levels of profitability

Leverage ratio 5:1
Revenue Acceleration

Without a defined growth rate, growth may be accelerated by adding advisory services, pursuing tuck-in mergers, or onboarding a lateral partner with an existing book of business.

+15–25% revenue growth
Risk Mitigation

May enhance operational capacity, diversify expertise, and strengthen continuity, but can introduce complexity in decision-making and profit sharing.
May support continuity, smoother succession planning, stronger long-term client retention, and greater capacity to adapt to growth and innovation initiatives.

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This preliminary valuation range is for discussion purposes only, based on unverified information, and is highly sensitive to assumptions. It does not constitute a formal valuation or transaction guidance and should not be relied upon by any party for decision-making purposes.