- Consulting is the core of the firm, representing 90% of revenue, which gives a buyer clear visibility into the primary earnings engine.
- The firm generates $5.0 million of gross revenue, providing meaningful scale for a small-platform acquisition.
- EBOC is 55% of revenue, indicating a healthy earnings conversion level relative to top-line revenue.
- Revenue per partner is $1.0 million across 5 partners, which supports a solid partner productivity profile.
- The business has 50,000 billable hours, showing substantial annual service capacity and utilization base.
- EBOC of 55% suggests only moderate earnings conversion on $5.0 million of gross revenue, which can limit valuation support versus higher-margin firms.
- Revenue is 90% consulting with only 5% audit and 5% tax, creating a heavily concentrated service mix that is more exposed to softness in one line of business.
- The firm has 5 partners and only 5 staff, indicating a very small operating platform that may constrain scalability and increase key-person dependence.
- All partners are age 55, which raises succession timing risk because the ownership group is uniformly nearing a typical transition window.
- Revenue per partner of $1.0 million is modest relative to the size of the partnership, which can weigh on buyer confidence in profit leverage and scale efficiency.
- Reduce dependence on consulting by broadening the 5% audit and 5% tax mix, which could improve revenue diversification and valuation resilience given the current 90% consulting concentration.
- Improve leverage by adding staff capacity to support the 50,000 billable hours across 5 partners and 5 staff, creating room for higher throughput and better partner scalability.
- Preserve and monetize the strong 55% EBOC margin by maintaining pricing discipline and operational efficiency, as this margin level is a clear valuation support.
- Address succession risk from the 55-year-old partner group by building next-generation leadership and client transition capacity, which can protect continuity and enterprise value.
- Increase revenue per partner from the current $1.0 million by expanding the existing consulting platform, as the firm already has a concentrated service mix and a relatively small partner group.
- Consulting represents 90% of revenue, creating a highly concentrated service mix that could make earnings more sensitive to any slowdown in that practice area.
- The firm has only 5 staff supporting 5 partners, indicating very limited leverage and a potentially fragile operating model if workload increases or even one key employee departs.
- Partner ages are shown as 55, which suggests succession and continuity risk may emerge in the near to medium term as the partner group approaches transition.
- Audit and tax each represent only 5% of revenue, so the firm has limited diversification across service lines and may have less stable recurring work than a more balanced practice.
- Revenue per partner is $1.0 million, but with only $5.0 million of gross revenue and 5 partners, the business appears dependent on a small ownership group, which can constrain scalability and transferability.