How buying a firm works

Acquiring an accounting practice follows a clear path. Here is the whole process, start to finish, and exactly where each step fits. This is the same path used by buyers who have closed multiple firm acquisitions.

First, what is a CIM?

CIM stands for Confidential Information Memorandum. It is the broker's detail packet on the firm for sale: financials, service mix, revenue history, fee summaries, staff info, and the asking price. You get it after signing the broker's NDA, and it is what you feed into the Deal Analyzer to see if the numbers make sense.

1

Find your firm

Browse listings to find practices that fit what you are looking for. This is what Practices aggregates for you, in one place.

2

Request info from the broker

Reach out to the broker, sign their NDA, and receive the CIM (Confidential Information Memorandum). This is where the CIM comes in: after first contact, before any analysis or offer.

The CIM lives here
3

Analyze the deal

Drop the CIM and financials into the Deal Analyzer to see if the numbers make sense: cash flow, financing, and how strong the deal really is.

4

Talk with the seller

Have your conversations with the seller through the broker. Get a feel for the firm, the clients, and the transition.

5

Make an offer with an LOI

Submit a Letter of Intent (LOI). Important: an LOI is non-binding. You can still walk away.

6

Due diligence

Three phases run here: legal (with an M&A attorney), financial (reconcile the ledger, bank statements, and tax returns), and operational (software, client intake, staff). Renegotiate if anything surfaces.

7

Closing day

Sign, fund, and take the keys. You are a firm owner.

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