Our clients are self-assured, value long-term relationships, and appreciate the quiet confidence of discreet advisory.
Whether you're selling, buying, or building value in your business, the same factors matter.
There are dozens of things that influence what a professional services firm is worth, but seven stand out. These are the areas we dig into with every client: helping sellers strengthen what they've built, helping buyers see what's really there, and helping owners understand where effort creates real impact. Master these seven and you'll make better decisions about your business, spot what matters in a target, and shape deals that hold up well beyond completion.
1.
Quality and depth of team
Creative and consulting firms live or die by their people. Buyers pay premiums for businesses where talent runs deep, where there's a strong second tier, and where the founder isn't the only person clients want to speak to. If your business can operate without you for a month, you've built something valuable. If it can't, you've built a job.
2.
Recurring revenue and client retention
One-off projects are fine, but predictable revenue is what creates value. Clients who come back year after year, retainer agreements that provide cash flow certainty, and low churn rates all signal that you're delivering something people actually want. The best businesses don't chase new clients constantly, they keep the ones they've got.
3.
Commercial agreements
Handshake deals and gentleman's agreements don't create transferable value. Written contracts with clear terms, renewal clauses, and reasonable notice periods do. Strong commercial agreements protect relationships, clarify expectations, and prove to buyers that your revenue isn't going to evaporate the day after they write the cheque.
4.
Operations
Can your business deliver consistently without chaos? Documented processes, clear workflows, and systematic delivery aren't sexy, but they're what separates sustainable businesses from founder-dependent practices. Buyers want to see that you've built a machine, not just accumulated clients. A good CRM, MIS and an operations management system show that this is a business built to hum.
5.
Services and productised services
What you sell matters as much as how you sell it. A portfolio of complementary, high-margin services beats a scattered collection of low-value offerings every time. The best firms have clear service definitions, premium positioning, and the ability to cross-sell. The very best agencies have templated, repeatable productised services that create superior commercial agreements, smooth operations and increased scalability. If you're competing on price, you're not differentiated enough.
6.
Intellectual property and proprietary methods
In professional services, IP isn't about patents, it's about frameworks, methodologies, and knowledge that can't be easily replicated. Proprietary valuation models, assessment tools, industry databases, and training programs all create defensible competitive advantages. If anyone can do what you in the same way you do it, you haven't built much to drive value. The smartest service companies are incorporating AI and flexible staffing into proprietary models; they're building their own first party data and products to sell to clients.
7.
Scalability
It's the ultimate test and driver of value: can this business grow without proportional increases in cost? Technology helps. So do systems, leverage, and service delivery models that don't require you to hire linearly. Scalable businesses command premium multiples because they represent future upside, not just current cash flow.
Sound familiar?
If you recognise your business in these seven drivers, or the business you want to build - you're exactly who we work with. We advise leaders who take the long view and value substance over shortcuts. Let's have a conversation?