A boutique specialist firm offering maintainable fees circa $1 Mill.
Located in the heartland of Sydney’s Northern Beaches, this well established firm specialises in small business compliance and consultancy through its provision of accounting, tax, superannuation advice and audits to its stable client base incorporating predominately professionals, senior corporate executives, professional directors, and small business owners. The firm assists in setting up business structures; provide regular financial reporting, budgets and cash flow projections; providing administrative advice including meetings, minutes and action plans.
Growth is organic through referrals and there is a strong commitment to providing excellent customer service to existing clients and their immediate family members where requested. As clients retire, the firm continues to advise on superannuation, tax strategies and estate planning, however the practice has also evolved inter-generationally, as the adult children of long standing clients engage its services.
Tax lodgements for the 2020 tax year numbered 507 in total, 297 of which were I returns, 8 partnership, 62 trust, 62 company and 78 SMSF returns lodged. Additionally, there are 45 SMSF audits, 12 quarterly BAS and 126 ASIC annual statements, as well as providing management advice to 40 groups. All in all, the average lodgement fee for the period was just under $1,600.
The fee base consists of only 156 client groups with an average client size of $7.4K, which is very attractive for this level of revenue. The distribution of fees is strongly focused within the fee ranges of $5K – $20K, which contributes almost 56% of revenue, as well as those greater than $20K, which is responsible for 27%+ of fees.
The top 20 client groups contributed some 39% of fees for FY 2020, many of who are located on the beaches or lower North Shore. Over half have been clients for 20+ years. These key contacts range in age from their late thirties to mid-seventies, half of whom are less than 60 years of age.
The vendor is wishing to retire following a suitable transition period. Current lease terms are until September 2021. Beyond this, there is the option to relocate the firm, although desirably it would remain on the beaches.
E-mail broking@robknightsbroking.com.au or call (02) 9233 4333 to request a confidentiality agreement.
The completion of a confidentiality agreement is essential prior to the supply of any information.
