- The firm generates $8.0 million of gross revenue, which is a meaningful scale for a buyer to underwrite.
- EBOC is 50%, indicating that half of revenue remains after operating expenses before partner compensation and other items.
- The practice produces 30,000 billable hours, showing substantial annual production capacity.
- Revenue per partner is $2.67 million based on three partners, which supports a concentrated and productive partner group.
- The partner group is only three partners and all are age 32, which provides a clearly defined ownership structure and a young partner cohort.
- EBOC of 50% indicates only moderate profitability, which can cap valuation relative to higher-margin practices.
- The firm’s scale is still modest at $8.0 million of revenue with only 3 partners, limiting market presence and increasing key-person dependence.
- Revenue per partner of $2,666,667 is concentrated across just three partners, so buyer reliance on a very small ownership group remains high.
- All three partners are age 32, creating an unusually young leadership profile that may require buyers to underwrite a longer retention and succession runway.
- Improve partner leverage by expanding staff capacity and delegating more billable work, as 3 partners support only 20 staff and 30,000 billable hours on $8.0 million of revenue.
- Increase revenue per partner through continued scaling of the existing platform, with current revenue per partner at approximately $2.67 million across three partners.
- Preserve and potentially enhance the 50% EBOC margin by maintaining disciplined cost control as the firm grows, supporting valuation quality and earnings durability.
- Monetize the firm’s relatively young partner group, with all three partners aged 32, by extending the operating runway and supporting a longer period of growth and transition stability.
- At $8.0M of gross revenue supported by only 3 partners, the firm shows a relatively concentrated leadership structure, which can create key-person and succession risk if one partner’s capacity or availability changes.
- With 20 staff against 30,000 billable hours, the firm appears operationally lean, leaving limited staffing buffer to absorb turnover, utilization swings, or growth without service strain.
- The reported EBOC margin of 50% is strong, but it may be difficult to sustain if partner workload or staffing efficiency deteriorates, making earnings quality sensitive to operating execution.
- Revenue per partner of about $2.67M indicates each partner carries a large share of the firm’s economic output, increasing the valuation impact of any partner-level disruption.