Stout provided buy-side financial due diligence services to a top 50 accounting firm on three acquisitions during the second half of 2025, two of which closed simultaneously. These acquisitions, which targeted firms with capabilities in advisory, tax, and assurance, had an emphasis on expanding the firm’s current service offering in new and existing geographies.

We supported the client throughout the full transaction lifecycle, including analysis related to the client’s initial valuation based on the target’s earnings, purchase agreement negotiations, and post-close integration planning through refinements of adjusted EBITDA, synergy identification, potential GAAP accounting changes, and other deal-critical insights. Deliverables included detailed quality-of-earnings analyses, net working capital and net debt assessments, and transaction support around purchase agreement terms. Each target operated as a closely held business, requiring tailored treatment around revenue recognition, work-in-process accounting, partner scrape under the client’s future compensation model, cash-to-accrual adjustments, and normalization of owner-related expenses.

Additionally, Stout was engaged post-close to support our client with preparing of certain closing statements for purposes of the purchase price true-up.