A longstanding client base representative of doctors and other professionals.
This sole practitioner firm, with accounting fees estimated at $620K for FY 2021 and financial planning revenue of between $40K – $50K, services high net worth individuals, primarily doctors and other professionals, who receive a mix of both compliance and consulting services. Clients are always undertaking new projects, particularly the larger super funds.
Financial planning has tended to be neglected of late, thus representing a good opportunity for expansion. Likewise, the introduction of finance broking would also add to this firm’s services.
In 2020, tax lodgements numbered 141 individual returns, representing 9.5% of revenue, 5 partnerships with 2.2% of fees, 30 trusts contributing 34.9% of income, 28 companies with 15.2% of fees, 35 super funds representative of 12.1% of revenue, as well as 129 BAS and IAS’s. A total of 368 returns at an average of $1,791.
As would be expected given the firm’s clients, 84% of fees are generated from fees ranging from $3K – $30K+, in particularly 59% within the $3K – $20K fee ranges, with an overall average client size of $3,470, which is very pleasing given the firm’s size.
The top 20 client groups contribute some 62% of annual accounting fees, the most significant of which equates to 6.6% of revenue. All but one are located within Sydney and range in age from their mid forties to their mid seventies. The main contact within three quarters of these groups are aged in their 50’s or 60’s, although there are a number of underlying younger clients. Generally these groups have been serviced by the firm for 10, 15 or 20 years, receiving compliance and tax advice services.
A lease is currently in place until September 2022; thereafter it would be relocatable within the lower North Shore.
The firm only employs qualified accountants, one of which whom knows the clients very well, and will be imperative to retain as part of the transaction.
The vendor is wishing to retire but would be available to assist with the transition on a part time basis for up to 12 months.
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.
