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Strategic Advisory Excellence Since 1984
Executive Dashboard
Strategic Outlook 2026–2028
$3,000,000
Annual Gross Revenue
41.67%
EBITDA Margin
$2,250,000 - $3,600,000
Valuation Range
83.33%
Economic Profit%
1
No. of Equity Partners
$100/hr
Avg Client Rate ($/hr)
1
Total Employees
50%
Overhead as % of Revenue
Valuation-Based Strategic Position
Strengths, Weaknesses, Opportunities, Threats
Strengths
  • The firm generates $3.0 million of gross revenue with only one partner, resulting in $3.0 million of revenue per partner, which is highly material from a buyer’s valuation perspective.
  • EBOC is 50%, indicating that half of gross revenue remains after operating expenses before partner compensation and taxes.
  • Revenue is diversified across audit, consulting, and tax, with each service line contributing 32% of revenue, reducing reliance on any single practice area.
  • The firm reports 30,000 billable hours, providing a clear operating base that supports the current revenue level.
  • The firm’s partner count is 1, which can simplify governance and transaction execution for a buyer.
Weaknesses
  • EBOC of 50% indicates only moderate profitability, which can compress valuation compared with higher-margin peers.
  • The firm appears highly dependent on a single partner, with 1 partner, 1 staff member, and the full $3,000,000 of revenue per partner concentrated in one owner, creating key-person and succession risk.
  • At age 78, the sole partner presents an immediate transition risk that buyers will price into the deal.
  • The practice is narrowly scaled at $3,000,000 of revenue and only 30,000 total billable hours, which limits operating leverage and makes the platform less resilient than larger firms.
  • Revenue is evenly split across audit, tax, and consulting at 32% each, leaving no clearly dominant specialty and suggesting a relatively undifferentiated service mix.
Opportunities
  • Reduce key-person risk and improve transferability by building a broader partner bench, as the firm currently has 1 partner and revenue is concentrated at $3.0M per partner.
  • Increase operational leverage by adding staff capacity, since the firm has only 1 staff member supporting 30,000 billable hours and a $3.0M revenue base.
  • Preserve and potentially expand the higher-value consulting and tax mix, with consulting at 32% of revenue and tax at 32%, to support margin and valuation quality.
  • Protect and enhance profitability by maintaining or improving the 50% EBOC margin, which provides room for scale or reinvestment without sacrificing earnings quality.
  • Improve succession readiness given the partner age of 78, which creates a clear opportunity to de-risk continuity and support a smoother transition for buyers.
Threats
  • Single-partner structure is a key continuity risk, as the firm has 1 partner and the partner age is 78, increasing succession and transition uncertainty.
  • The staffing base is extremely thin relative to scale, with only 1 staff member supporting $3.0M of gross revenue and 30,000 billable hours, creating execution and capacity risk.
  • Revenue is concentrated in a narrow service mix, with audit, consulting, and tax each at 32% of revenue, which limits diversification and can make performance more sensitive to weakness in any one line.
  • The firm’s earnings before owner compensation are only 50% of gross revenue, which may indicate meaningful operating cost pressure and limit cash flow available to support growth or transition.
  • Revenue per partner is $3.0M with only one partner, which suggests the business is highly dependent on a single individual and may be difficult to transfer without disruption.
Enhance Profitability

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

41.67% EBITDA margin
Operational Efficiency

Improving leverage to 5:1 can increase profitability and firm value by 20-35%.

Leverage ratio 1:1
Revenue Acceleration

Growing revenue above $5M increases base multiples from 4-5x to 5.5-7.5x, potentially adding 30-50% to firm value.

Risk Mitigation

Adding even one partner can eliminate the -1.0 to -1.5 multiple penalty, potentially increasing firm value by 25-40%.
Reducing average partner age below 60 or having a clear succession plan can add 0.5-1.0x to your multiple, increasing value by 15-25%.

[-1.0, -1.5]

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.