Episode 108: Thinking About Selling Your Firm? Here’s What You Need to Know with Matt Budden & Matt Smith

Mar 19

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Conquering Workflows & Systems for Bookkeepers & Accountants podcast with Alyssa Lang, founder of Workflow Queen and Magnetic Profits and Matt Budden and Matt Smith, owners of WORTTTH Advisory. Episode topic: Thinking About Selling Your Firm? Here’s What You Need to Know with Matt Budden & Matt Smith.

Alyssa Lang interviews Matt Budden and Matt Smith, owners of WORTTTH Advisory, on the intricate process of business valuation and its impact on potential sales and exits. Alyssa, Matt, and Matt explore the emotional journey of contemplating a business sale, unraveling the components of a firm's value, and understanding the steps to better prepare for a future exit, offering listeners invaluable insights into maximizing their business's appeal to potential buyers.

In this episode you’ll hear:

How Alyssa went through the valuation process for her firm with Matt & Matt
What the valuation and exit readiness scorecard process looks like for potential business sellers
Why understanding business valuation is beneficial, even if you're not currently planning to sell

Resources mentioned in this episode:

📚 Built to Sell by John Warrillow

💻 Breakthrough for Bookkeepers & Accountants

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Let’s talk about something most bookkeepers and accountants don’t think about until they’re completely burned out: selling their firm.

Even if selling isn’t on your radar right now, here’s the reality…you will exit your business one day. Whether that’s through selling, merging, handing it down, or simply walking away, your business will change hands. So why not make sure it’s actually worth something when that time comes?

Recently, I went through a business valuation for my firm with Matt Budden and Matt Smith from Worth Advisory, or as I like to call them, Matt & Matt. At first, I thought I might be ready to sell. Turns out? I had a lot to think about. This process completely changed the way I look at my business.

If you’ve ever wondered what your firm might be worth, or what it takes to make it *sellable…*this one’s for you.

Why I Got My Firm Valuated (Even Though I Didn’t Sell)

So here’s the backstory.

I had been sitting with this feeling for a while. Some days, I was ready to sell. Other days, I wasn’t so sure. I knew I needed real data to make a smart decision.

That’s when multiple people in my circle kept recommending Matt & Matt. And I’m not exaggerating, at least three different people told me to talk to them. Finally, I caved, reached out, and booked a call.

What happened next? A wild rollercoaster of emotions, deep business insights, and a total shift in perspective.

Step-by-Step: What the Valuation Process Actually Looks Like

I went through two calls with Matt & Matt. Here’s how it worked:

Step 1: Reviewing the Numbers

Before our first call, I gave them access to my firm’s QuickBooks data. They analyzed:

Profit & loss statements
Expenses and revenue trends
Overall financial health

A big part of this was add backs, which means adjusting for expenses that a new buyer wouldn’t have, like business-related travel, personal perks, or mastermind events.

Once we stripped those out, I realized my firm was actually more profitable than I thought.

Step 2: Scenario Planning

Then, we ran different growth scenarios to see what would happen if I:

Increased revenue by 10-20 percent
Removed myself from day-to-day operations
Adjusted my pricing or optimized costs

This part was both exciting and overwhelming. At one point, I remember thinking:

"Wait... I have to do all of that to sell for the number I want? That sounds exhausting."

Step 3: The Exit Readiness Scorecard

On our second call, we went through an Exit Readiness Scorecard, which rates your business based on risk factors and operational efficiency.

Here’s how my firm stacked up:

Strong areas: Legal documentation, financial compliance, client relationships, and sales process
Needs work: Client concentration (too much revenue tied to a few clients) and depth of management (business still depended on me too much)

Seeing these results was wildly helpful. Instead of trying to fix everything, I knew exactly where to focus.

Why a Valuation Matters (Even If You Never Sell)

Going through this process changed how I see my business. I walked away with:

A clear roadmap for improving my firm’s value
A better understanding of where my time and energy should go
Confirmation that I wasn’t actually ready to sell, but now I know what needs to change if I ever do

If you’ve ever read Built to Sell by John Warrillow, you’ll recognize this approach. Even if you never sell your firm, building it like you will makes it stronger, more profitable, and easier to run.

What Makes a Firm Attractive to Buyers?

If you are thinking about selling one day (or just want to future-proof your business), these are the key factors that make a firm valuable:

1. Recurring Revenue & Client Diversification

Buyers prefer firms with stable, predictable income
If one or two clients make up most of your revenue, that’s a huge red flag

2. Strong Team & Systems

If your firm relies on you, it’s harder to sell
Buyers want documented systems and a team that can run things without you

3. Profitability & Clean Financials

Strong profit margins (15-30 percent) make a firm more attractive
If your books are messy, buyers will lower their offers or walk away

How to Strengthen Your Firm (Even If You’re Not Selling Yet)

After this process, I realized I needed to make some big changes, whether I was selling or not.

The first thing I did? I hired an account manager to reduce my involvement in the firm.

For those of you looking to optimize your firm’s structure, pricing, and team, this is exactly what we teach inside Breakthrough for Bookkeepers & Accountants.

Whether you want to scale, exit, or just step back from daily operations, this program helps you build a more efficient, profitable firm, one that works for you, not the other way around.

Final Thoughts: Should You Get a Valuation?

Here’s the truth…every firm owner should go through this process at some point. Whether you’re thinking about selling or just want to build a stronger, more profitable firm, understanding your business’s value is incredibly powerful.

For me, the biggest takeaways were:

I’m not selling right now, but I have a clear roadmap for increasing my firm’s value
I now know exactly where to focus my energy (client retention and team structure)
The best firms aren’t just profitable, they’re sellable, whether or not you ever sell

If you’ve ever wondered what your firm is worth, I highly recommend working with Matt & Matt at Worth Advisory. They made the process clear, insightful, and pressure-free, no sales tactics, just real data and smart strategy.

Want to Know What Your Firm Is Worth?

Visit Worth Advisory or email team@worth.com and mention this podcast to get started.

And if you want to optimize your firm and build a business that runs without you, check out Breakthrough for Bookkeepers & Accountants.

Because at the end of the day, the best business isn’t just profitable…it’s one you can step away from whenever you want.

About our guest:

Matt Budden and Matt Smith are the Co-Founders of WORTTTH Advisory, a boutique financial consulting firm specializing in valuations, M&A, and strategic financial services. Both are qualified Chartered Accountants (SA) with extensive global experience in deal advisory and financial services.

Known as "The Matts," they share a deep passion for education and a relational approach to consulting. Their backgrounds include years in public accounting, with Smith specializing in deal structuring and tax efficiencies, while Budden focuses on valuations and financial due diligence. Prior to launching WORTTTH, they spent five years leading a multinational fractional CFO firm, helping entrepreneurs scale sustainably.

Budden is recognized for his ability to inspire and connect with entrepreneurs, while Smith excels at distilling complex data into actionable insights. Together, they create a safe, strategic space for founders to grow and build impactful businesses.

Connect with Matt & Matt:

Follow them on Instagram: @worttth

Connect with them on LinkedIn: linkedin.com/company/worttth-advisory/

Email them: team@wortttth.com

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