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Strategic Advisory Excellence Since 1984
Executive Dashboard
Strategic Outlook 2026–2028
$8,000,000
Annual Gross Revenue
37.50%
EBITDA Margin
$21M - $30M
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
  • The firm generates $8.0 million of gross revenue, which provides meaningful scale for a four-partner practice.
  • Revenue is diversified across service lines, with audit, tax, and consulting each representing 12% of revenue, reducing reliance on any single niche.
  • The firm produces 30,000 billable hours, indicating substantial operating volume to support the revenue base.
  • EBOC is 50%, suggesting a strong earnings conversion profile from the reported financials.
  • Revenue per partner is $2.0 million, reflecting a high level of partner productivity relative to the firm’s size.
Weaknesses
  • EBOC is 50%, indicating only moderate profitability and leaving limited margin for a buyer to underwrite a premium valuation.
  • The firm has only 4 partners, so enterprise value is more exposed to partner dependence and succession risk, especially with one partner at age 24 and the remaining partners at 58, 54, and 52.
  • Revenue per partner is $2,000,000, which can signal a relatively concentrated production base and makes the business more sensitive to the loss of any one partner.
  • Audit, tax, and consulting each represent only 12% of revenue, which suggests a fragmented service mix without a dominant higher-scale line to anchor valuation multiple expansion.
  • With 20 staff supporting $8,000,000 of revenue, the firm’s scale is modest, which can limit operating leverage and buyer interest relative to larger platforms.
Opportunities
  • Increase the audit and tax mix, as both are only 12% of revenue, to reduce reliance on the current non-core revenue base and improve recurring, higher-value service penetration.
  • Expand consulting from its current 12% share by cross-selling into the existing client base, which could lift average revenue per client and support higher valuation multiples if executed with the current partner team.
  • Improve leverage by building out the 20-person staff base around four partners, as the current revenue per partner of $2.0 million suggests room to scale partner capacity through delegation and supervision.
  • Address succession and continuity risk given the partner age profile of 58, 54, and 52 alongside one younger partner, since a broader leadership bench can support smoother growth and preserve value.
  • Increase billable output from the current 30,000 billable hours by tightening utilization and capacity management, which could raise revenue without requiring immediate partner expansion.
Threats
  • Revenue is concentrated in a single dominant service mix, with audit, tax, and consulting each at 12% of gross revenue, leaving the remaining 64% unspecified and potentially less transparent for valuation diligence.
  • The partner age profile includes one partner at 24 alongside three partners aged 52, 54, and 58, creating succession and continuity risk if the senior partners approach transition or retirement.
  • With 4 partners and 20 staff supporting $8.0 million of gross revenue, the firm’s operating model may be relatively partner-heavy, which can pressure scalability and key-person dependence.
  • Revenue per partner of $2.0 million is strong, but it also indicates meaningful reliance on each partner’s individual production, which can increase earnings volatility if any partner underperforms or exits.
  • EBOC at 50% suggests moderate profitability, but it still leaves limited cushion versus revenue fluctuations or staffing inefficiencies in a small firm structure.
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.