- The firm generates $8.0 million of gross revenue, which is a meaningful scale for a buyer evaluating acquisition size.
- With 4 partners and 20 staff, the firm shows a 5:1 staff-to-partner ratio that supports leverage in delivery.
- The firm reports 30,000 billable hours, indicating substantial annual production capacity.
- Revenue per partner is $2.0 million, which is a useful valuation metric for assessing partner productivity.
- EBOC is 50%, providing a clear profitability indicator for buyer diligence.
- EBOC is 50%, which leaves only half of revenue before partner compensation and other overhead, limiting earnings-based valuation support.
- Revenue per partner is only $2,000,000 across 4 partners, indicating a relatively thin production base per equity owner.
- The firm has 20 staff supporting 4 partners, a 5.0:1 staff-to-partner ratio that may signal limited partner leverage or a smaller operating scale.
- Partner ages are all 20, but no succession or retirement data is provided, so age alone does not support a valuation weakness.
- Increase revenue per partner by leveraging the current 4-partner structure, as revenue per partner is $2.0 million and total revenue is $8.0 million.
- Expand billable capacity and throughput from the current 30,000 billable hours by adding staff or improving utilization, supporting growth without changing the partner base.
- Preserve and potentially enhance the 50% EBOC margin through disciplined pricing and cost control, which would directly support valuation.
- Reduce key-person concentration risk by broadening leadership and client responsibility beyond the current four partners, all of whom are the same age, improving succession visibility.
- Scale the firm’s operating leverage by growing revenue faster than headcount, given the current 20 staff and 4 partners structure.
- With only 4 partners and 20 staff supporting $8.0M of revenue, the firm appears relatively partner-dependent, which can create key-person and succession risk if one or more partners reduce involvement.
- Revenue per partner of $2.0M is high relative to the small partner group, suggesting limited depth in the ownership base and potential pressure on continuity and client coverage.
- The partner ages are all listed as 20, which is unusually young and may indicate limited tenure or an immature ownership structure, increasing execution and retention risk for a buyer.
- Billable hours of 30,000 against $8.0M of gross revenue imply meaningful reliance on sustained utilization, so any softness in chargeable capacity could quickly affect earnings.
- An EBOC margin of 50% is solid but leaves less room for operational disruption, making performance more sensitive to staffing or productivity slippage.