Valuation of a professional services business

This 90 minute CPD session is for accountants who want to understand how to value professional services firms including accountancy practices. It covers the main methods used, what drives value in these businesses, and how to deal with things like goodwill and partner earnings. We’ll also look at current issues affecting valuations in the sector.

Key features

• Understand key value drivers in professional services firms, including human capital, client relationships, and recurring revenue
• Explore common valuation methods such as DCF, earnings multiples, and market comparable, and when to use each
• Learn how to adjust financials for partner remuneration, non-recurring items, and related-party transactions
• Examine the role of goodwill and other intangible assets, distinguishing between personal and practice goodwill
• Identify sector-specific challenges such as reliance on key individuals, client retention, and regulatory considerations
• Stay informed on current trends impacting valuations, including technology, remote work, and industry consolidation