How to Buy and Grow an Accounting Firm with Chris Williams of System Six
Episode description
🚀 Get My Free Book! 📖 How to Buy Your First Million Dollar Business
Chris Williams, CEO and of System Six, provides an overview of the process of buying and growing a CPA accounting firm. This video will help you understand what to expect when acquiring a CPA firm and provide some tips on how to make the process smoother.
SHOW NOTES:
00:00 Intro
00:47 Starting in Private Equity
03:25 How he found his mentors and High Net worth Investors
05:47 Mentor recommendations - should I raise capital need help with down payment
08:25 Who did the sourcing
10:35 What was your search criteria - $1m EBITDA or about
12:50 How he found his acquisition
14:01 Was seller motivated to sell?
15:24 What seller looking for?
17:19 How much seller financing with SBA loan?
18:03 Seller Note Downside
20:32 Participating preferred from Investor
21:09 How long did it take to land an investor
22:09 Working with Live Oak Bank for SBA loan
24:25 Why are accounting firms priced at 1X sales?
29:00 Overengineering the Reps & Warranties in APA
31:10 How was the seller handoff
32:30 Did anyone leave at sale - rage quit?
32:57 One year in, do you like what you are doing?
34:08 How did you grow revenue 30%?
36:45 PE employee to CEO - how is it changed you - realizations
40:00 Why he wants to grow to 100 people