- The firm generates $8.0 million of gross revenue, providing a meaningful revenue base for valuation analysis.
- All revenue is consulting revenue at 100%, which indicates a fully consulting-oriented revenue mix.
- EBOC is 50%, showing that half of gross revenue remains after expenses before owner compensation and taxes.
- The firm produces 30,000 billable hours, supporting a substantial level of service delivery activity.
- There are 4 partners and 20 staff, indicating a multi-partner operating structure with a 24-person total headcount.
- Revenue per partner is $2.0 million, which is a material productivity metric from a buyer’s perspective.
- At $2,000,000 of revenue per partner across only 4 partners, the firm shows meaningful partner concentration, which can create key-person and succession risk for a buyer.
- All $8,000,000 of revenue is consulting-based, so the firm lacks service-line diversification and is fully exposed to valuation sensitivity in a single line of business.
- Increase revenue per partner from the current $2.0M level by adding capacity or improving leverage, as the firm has 4 partners and 20 staff supporting $8.0M of gross revenue.
- Expand billable hours above the current 30,000 level to drive top-line growth, since all revenue is consulting-based and the firm currently has 100% consulting revenue.
- Preserve and potentially enhance the 50% EBOC margin through disciplined pricing and utilization management, which would directly support valuation.
- Use the relatively young partner group (age 32) to build longer operating runway and support a longer-term growth profile, which can be attractive in a valuation context.
- All revenue is consulting-based (consulting_revenue_percent: 100), which leaves the firm’s earnings profile concentrated in a single service line and more exposed to any slowdown in consulting demand or pricing pressure.
- The firm’s scale is modest relative to ownership structure, with gross revenue of $8.0M spread across 4 partners and 20 staff, which can limit operating leverage and make the business more dependent on a small leadership group.
- Revenue per partner is $2.0M, indicating that a meaningful portion of enterprise value is tied to a limited number of partners and their individual productivity.
- Billable hours of 30,000 across 20 staff suggest a relatively high utilization requirement, which can create execution risk if staffing, scheduling, or capacity management weakens.
- The reported EBOC margin of 50% is strong, but it also implies valuation sensitivity to any margin compression because a large share of current value is driven by profitability rather than scale.