Thirty Recent Practice Sales: Who, What & Why Unpacked

 Published May 2025

DMY's latest six-monthly release of Market Data and Insights for accounting practice sales has just been released here:  DMY Latest Market Data - May 2025. It contains data and insights on thirty practice sales^# over the last twelve months including selling prices,  levels of buyer activity, retention terms and how long sales are taking as well as the key trends from our last eight Market Data releases going back to 2021.

In this article, we take a closer look at the profile of the thirty practice sales that underpin this Market Data: service lines, levels of fees sold,  age of sellers, reasons for selling and the gender of buyers and sellers.

Demand for practices remains high and competition intense with a diverse pool of buyers both local and interstate, large and small. Sellers cannot be complacent though. Whether you are planning to buy or sell,  this is a valuable read to build your understanding of the market and set yourself up for a successful outcome. 

Key Findings

 1. Not surprisingly, the majority of practices sold focus on core tax and accounting services with differing levels of business advisory. There is also healthy demand for finance function/bookkeeping practices as well as specialist firms such as SMSF Admin and Audit.

Fees Sold

 2. The majority of practices sold were between $0.5m - $1m in fees. One third of the practices sold had fees over $1 million with the largest having fees of c.$4.5 million.

The majority of practices sold will always skew towards smaller practices (<$1 million) given the sheer volume of these across Australia and the propensity for larger practices to be better equipped for internal succession planning.  The largest practices DMY currently have in market are three practices with fees of $5 - 6 million. 

2. Around half of sellers (47%) are aged under 60 which reflects a consistent trend we have seen since COVID where more and more owners are electing to sell earlier in their careers and for reasons other than imminent retirement.

Five years ago the large majority of sellers were over 60 but with it becoming increasingly more challenging to successfully run a small practice  - particularly finding and retaining talented accountants and managing regulatory complexity - we don't anticipate the current trend will reverse.

Our youngest seller this period was aged just thirty and had built a successful finance function and bookkeeping practice in a short time frame before deciding to move overseas for family reasons and to pursue new business opportunities.

2. 63% of sellers have been selling to retire. Other reasons include a career or lifestyle change, a medium term transition to retirement and access to greater resources. 

The retirement percentage of 63% is ten percentage points higher than the percentage of sellers aged in their sixties or above and is reflective of sellers retiring earlier.  Other key reasons driving the selling decision include a career or lifestyle change either within or outside of the accounting industry, a medium term transition to retirement where the owner is choosing to continue on with the purchaser for an extended period (for example, up to 5 years.), as well as gaining accessing to greater resources which can often be by way of a merger where the seller retains some equity.

 2. Nearly 40% of sellers are female. A significant gender gap remains with buyers with just four out of thirty being female (up from just one in the last period!).

Nearly 40% of sellers are female which remains consistent with the last period.  There remains a significant gender gap amongst buyers but we are pleased to see that there were four buyers this time with strong female representation, up from only one in recent last data releases. While this is still low we retain confidence that the percentage of female buyers will increase over the medium to long term as we encounter plenty of successful female practice owners with strong growth aspirations.

The Wrap

Sellers are a diverse bunch! Plenty fit the "traditional" profile of male,  fees under $1 million and ready to retire.  However plenty aren't. Nearly forty per cent of sellers are female and it's no longer unusual to see sellers aged in their thirties and forties. Running a successful accounting practice is complex and requires energy and commitment. As a result more and more owners are electing to either retire earlier to enjoy the fruits of their labour or make a career or lifestyle change that no longer involves running a public practice.

Sellers should go to market being able to clearly articulate: why they are selling, what success looks likes,  and what their ideal role is post sale (be that a transition role or something more enduring). 

Buyers who take the time to understand the seller's perspectives and provide flexible solutions to meet their needs, will stand out from the pack and be better placed to compete and win. 

To discuss these findings in more detail and what they mean specifically for your situation, contact DMY’s Directors below:

Mark Emney

Mobile: 0434 079 530
Email: mark@dmyassoc.com.au

Daniel Jones

Mobile: 0401 493 773
Email: daniel@dmyassoc.com.au