A long standing firm servicing SME and SMSF clients based on the NSW / VIC border.
This accounting firm was established over 20 years ago in the Murray region with fees circa $1.6 Mill. Its services are broad ranging, beyond basic compliance, and whilst predominately working with business clients and SMSFs, there are some individual returns that are not associated with businesses. The practice has experienced steady growth and continues to do so, mainly from existing client referrals. Clients range in age and industry with no particularly strong industry representation.
The firm’s lodgements equated to 902 in 2023. These consisted of 636 ‘I’ returns, 64 partnerships, 69 trusts, 90 companies, and 43 super funds. Additionally, there were 168 quarterly BAS and 181 corporate secretarial lodgements. Overall, this represented an average billing of $1,432.
There were 490 client groups serviced in the 2023 FY, representing an average fee per annum per group of $3,655. Some 41.2% were within the fee ranges of $5K to $10K, a further 15.7% in the $10K to $30K range and 13.5% with annual fees greater than $30K. The larger clients are billed monthly.
The top 20 client groups for the 2023 financial year contributed around 26% of overall revenue including the largest client at 4.6% of fees. Many of these groups are located close to the firm or within reasonable proximity, with a few more broadly in NSW or VIC. The age of the main contacts within these groups range from their late twenties to early eighties, albeit almost three quarters are less than sixty years of age.
The principals are supported by several professional staff as well as a couple of support personnel.
The firm’s server currently hosts files, whilst some paper files remain. Software used inhouse includes Handisoft, Securities Tax Manager and BGL whilst client cloud based software includes MYOB, Xero, Reckon Accounts, and QuickBooks.
The firm’s premises are owned by the principals, hence there is no formal lease, and whilst continuation at this current location would be preferred, it is not absolutely necessary.
The practitioners are wishing to retire but are available to assist with a transition for up to 12 months, initially in a full time capacity and then phasing back to part time. As they are reasonably hands on, this transition will be important to the transfer of skill and knowledge needed to service the clients.
E-mail broking@robknightsbroking.com.au to request a confidentiality agreement or phone (02) 9233 4333.
The completion of a confidentiality agreement is essential prior to the supply of any information.
