Business Overview

Established in 1977, this Washington tax and accounting firm has built an outstanding reputation due to its integrity, service, and the personal attention that is paid to each client. The Practice’s service by revenue breakdown is 94% Tax Preparation, 3% Consulting, 2% Financial Statement Review and 1% Bookkeeping. In 2020, the Practice reached an impressive gross revenue of $694,920. Of its ~550 active clients, it is estimated that 95% will remain with the Practice after transition to new ownership. The owner is willing to provide transition assistance and help with goodwill transfer, business development, and other “mentoring” functions for an agreed-upon period of up to two (2) years to ensure the current clientele is happy and well taken care of and the new owner’s return on investment is realized. Additionally, there are four (4) loyal staff members who are amenable to helping the Practice continue to thrive. With dedicated staff and proven YoY growth, this is one opportunity you don’t want to miss. If interested, call us at 253.509.9224 or, send an email to info@privatepracticetransitions.com, with “1135 Trusted Seattle Tax and Accounting Firm” in the subject line.

Financial

  • Asking Price: $730,000
  • Cash Flow: N/A
  • Gross Revenue: $694,920
  • EBITDA: $168,377
  • FF&E: N/A
  • Inventory: N/A
  • Inventory Included: N/A
  • Established: 1977

Detailed Information

  • Property Owned or Leased:N/A
  • Property Included:N/A
  • Building Square Footage:2,000
  • Lot Size:N/A
  • Total Number of Employees:4
  • Furniture, Fixtures and Equipment:N/A
Is Support & Training Included:

Owner is willing to provide transition assistance and help with goodwill transfer, business development, and other “mentoring” functions for an agreed-upon period of up to two (2) years to ensure the new owner’s return on investment is realized.

Additional Info

The business was founded in 1977, making the business 45 years old.

The company has 4 employees and resides in a building with disclosed square footage of 2,000 sq ft.
The building is leased by the company for $5,957 per Month

Why is the Current Owner Selling The Business?

There are all sorts of reasons why people decide to sell companies. However, the genuine reason vs the one they tell you may be 2 entirely different things. For instance, they might claim "I have way too many various obligations" or "I am retiring". For many sellers, these reasons stand. However, for some, these may just be reasons to try to hide the reality of altering demographics, increased competition, current decrease in profits, or an array of other factors. This is why it is really crucial that you not depend completely on a seller's word, however rather, make use of the vendor's response combined with your general due diligence. This will paint a more reasonable picture of the business's present circumstance.

Existing Debts and Future Obligations

If the existing business is in debt, which numerous businesses are, then you will certainly have reason to consider this when valuating/preparing your deal. Lots of companies finance loans in order to cover points such as inventory, payroll, accounts payable, etc. Remember that occasionally this can indicate that profit margins are too small. Many organisations fall into a revolving door of taking loans as a way to pay back other loans. Along with debts, there may also be future commitments to think about. There might be an outstanding lease on tools or the building where the business resides. The business may have existing agreements with vendors that need to be met or might lead to penalties if canceled early.

Understanding the Customer Base, Competition and Area Demographics

Just how do operating businesses in the area attract brand-new customers? Often times, businesses have repeat clients, which form the core of their everyday revenues. Particular variables such as brand-new competitors sprouting up around the area, roadway building and construction, and also personnel turn over can impact repeat customers as well as adversely influence future incomes. One essential thing to consider is the location of the business. Is it in an extremely trafficked shopping mall, or is it hidden from the highway? Clearly, the more individuals that see the business on a regular basis, the higher the chance to construct a returning client base. A final thought is the basic area demographics. Is the business situated in a largely populated city, or is it located on the edge of town? Exactly how might the neighborhood average family earnings impact future earnings prospects?