You want to sell an administrative office? Then it is good to know what the takeover market in the field of administrative offices looks like. Due to staff shortages, the number of acquisitions of administrative offices will grow in the coming years. Offices that increasingly focus on (proactive) consulting will be the most future-proof.
The acquisition market for administrative offices has been virtually stable for several years. Offices face many challenges. From structural staff shortages to digitalization, administration offices will have to become more future-proof.
There are many ways to value a business. A common method of expressing the value of a business is "a factor x gross annual profit." This factor is also called multiple and another designation for gross annual profit is EBITDA (Earnings Before Interest Taxes Depreciation and Amortization).
In business services, the sector to which administrative offices belong, an indicative EBITDA multiple range of 4.6 to 5.5 is currently used, according to the Brookz Takeover Barometer. The average EBITDA multiple across all SME sectors is 4.90.
The valuation of a business is often the starting point for negotiations between buyer and seller. The outcome of these negotiations is the final sales price. So valuation and price are two different quantities. Besides valuation, the price is also determined by possible scarcity in the market, bargaining power of the parties, the strategic value of the business for the buyer and possible synergy effects for the buyer (cost savings, purchasing advantages).
Do the calculation
Do you want to buy a business or sell a business in the business services sector? With this Brookz Sector Monitor, we want to present buyers and sellers with facts, figures and an outlook that provide insight into the number of transactions, the value development of businesses and the latest trends and developments in the business services sector. Because in every buying or selling process, thorough preparation gives peace of mind, overview and structure.
Download report
Administrative offices that are able to make the transformation to continuous and proactive consulting are the most promising in the future. Most growth for administrative offices is therefore also expected in the area of specialist services. Administrative offices, which are members of the Dutch Association of Administrative Offices and Tax Experts (NOAB), still achieve most of their revenue from administrative processing and compiling annual accounts. But their share of revenue is declining in favor of revenue from consulting.
In figures, the number of administrative offices in 2024 looked as follows(CBS):
With this online training from Brookz you are optimally prepared to largely sell your business yourself: 25 Powerpoint videos, a comprehensive valuation report, legal model contracts, handy templates, checklists and expert support. Plus 50% discount on listing your business on Brookz!
To Brookz Academy
A number of trends and developments will inevitably cause changes in the coming years, but also offer administration offices many growth and acquisition opportunities:
The pandemic has been the deciding factor in this, but digitalization is also contributing something. Today we can even access our software from the car or on the beach, so clients can be helped from anywhere in the world. It is therefore essential that digitization does not lag behind, because if your data is not in the cloud, you are missing out, according to the Accountancy of Tomorrow platform.
Automation will eliminate administrative and accounting work and replace it with proactive advice based on big data, among other things, according to ING. Digitization is taking over manual tasks and this is particularly impacting administrative offices.
For businesses in this sector, the constant challenge remains to remain sufficiently distinctive. In addition, competition comes not only from within the sector, but also increasingly from outside. This is due to rapid technological developments and innovation. Innovative service providers are therefore promising towards the future.
Trust in the administrative office ("the customer is king") is crucial for continued existence and growth, according to Rabobank. Tension in the labor market continues to rise and the persistent shortage of staff is the biggest obstacle to growth, according to owners.
