here’s what you’re looking for: marc rosenberg

outlook & analysis

6 reasons cpa firms fail at succession planning

plus: making the math work.

by marc rosenberg
retirements & buyouts

why are cpa firms deficient at succession planning?

it is abundantly clear that cpa firms have succession planning challenges. partners overwhelmingly prefer the exit strategy of passing on the firm to younger partners vs. merging out of existence. but history shows that the vast majority fail at moving their firms into the next generation. what holds them back?

the answer lies in the classic pogo cartoon line: “we’ve seen the enemy and the enemy is us.” read more →

outlook & analysis

6 factors in valuing total goodwill of a cpa firm

cpa firm partner retirement artvaluing a cpa firm for partner retirement purposes is much different than a valuation for merger purposes.

by marc rosenberg
retirements & buyouts

profitable, attractive firms, generally under $2 million, sold in a market with many potential buyers, will often fetch 110 percent to 150 percent of fees.

if this is the case, why do cpa firms value goodwill for retirement purposes at no more than 100 percent of fees and usually, 80 or 90 percent of fees? here are six good reasons why:

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outlook & analysis

when you’ve retired, how do you get your money?

money falling from the sky; moneyon white9 factors that ensure retirement plans will pay off.

by marc rosenberg
retirements & buyouts

when a partner group crafts their firm’s partner retirement plan, they are hopeful that the plan will play an important role in their financial futures. they are guardedly optimistic that their buyouts will be realized.

but the path toward the retirement payday is a perilous one. many actions are necessary and a number of obstacles must be overcome for a firm’s partner retirement plan to pay off. read more →

management

deciphering the current state of the cpa firm merger market

by marc rosenberg
cpa firm mergers

with 80 percent of first-generation firms never turning over to a second generation of owners, it’s no wonder that merger mania continues unabated. each year sees increased merger activity over the one previous.

“merger mania” is particularly prevalent among the top 10 to 25 firms in the largest 75 markets in the u.s. and canada, partly due to the “new normal” – an economy that remains too sluggish to satisfy the ambitious growth targets of these top performers. but acquiring talent and niches is equally as important a reason for mergers to these larger firms, as is increased revenue.

sellers, however, remain hesitant.

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