Professional Practice Valuations

Perth valuer's expert business valuer Graham O'Hehir is often called upon to value professional practices such as accountancy practices, engineering consultancies, architectural practices, medical practices and legal practices.

We have valued over 20 accounting firms and their fees in recent years, as well as several engineering and building engineering consultancies.

The valuation of accounting fees has traditionally been based on a multiple of gross fees generated per annum, however there appears to be a growing trend towards examining the profitabilty of those fees, rather than their volume.

The "cents in the dollar multiple " paid for other professional practices generally falls well short of those paid fo accounting practices. This is because non-accounting fees are considered to be less "sticky' or habitual in their nature, whereas accounting clients tend to stick with the practice for many years and are therefore considered to be worth more to a buyer.

Financial planning practices and mortgage broking practices are other professions which attract high goodwill mutiples for their fee base.