What is the Methodology Used by the Professional for Accounting Practice Sales?

Being innovative enough to gain a competitive edge in the current selling environment is a methodology used by professionals for accounting practice sales. It is important to provide a potential buyer with the confidence that they are investing in a growing business with successful clients and a trained sales staff. 

Strengthening an existing client base encourages loyalty to an accounting practice, and it can be a very attractive selling point for any accounting practice. New business is often generated by references from existing clients.Prospective buyers may be moved to buy if an accounting firm has built strong relationships with its clients and understands their challenges, goals and objectives to better serve them. Providing a potential buyer with an existing trained staff that shares mutual goals and helpful information is a strong selling point. Proving that an accounting firm has invested in collaboration and effective teamwork may persuade someone to buy that accounting practice for high value as compared to a different firm. 

Structuring an accounting firm for selling involves evaluating its core markets in order to document key factors that affect the perceived value of a business, whether it is growing or declining, or if competitors are expanding. Structuring also includes setting the price and terms. There are a number of inherent concerns when selling an existing practice, such as whether or not the existing clients will remain, and if the practice is priced fairly. Financing options need to be discussed.

Showing potential buyers that an accounting firm is staying abreast of developing advances in the accounting field is attractive to potential buyers, as well as presenting the firm’s technology as modern and state-of-the-art. Modern technology can improve the efficiency and speed of operations; vastly improve communications; increase client recruitment and retention; increase and simplify promotion and marketing efforts; and increase visibility and perceived company value. Ensuring all staff and teams are thoroughly trained in sales and/or customer relations programs is important in order to increase sales and provide for many more opportunities in future business. 

Accounting firms for sale are frequently due to an owner retiring, and are typically marketed to qualified buyers through numerous channels. The owner can choose to sell the practice outright, or sell their equity to another co-owner as an internal succession. It is important for both buyers and sellers to know their practices, clients, staff, financial statements, goals and expectations.