Every practice is unique as well as the different factors buyers will look at when trying to establish a value for the practice. A few of the key components most buyers will review when looking at purchasing a practice include, but not limited to:
Location – (rural or metro area)
% of net income
Average billing rates
Quality staff in place
Is the practice portable or does the buyer need to maintain the space
Last 3 years of financials and which way the business is trending
Key client make-up
% of accounting, tax, audit, other services provided
Average fees per client