Days to Billing for New Hires in Professional Service Firms
Boutique pro serv firms are constantly hiring, whether due to growth or attrition. A new hire on the bench eats into profits.
Boutique pro serv firms are constantly hiring, whether due to growth or attrition. A new hire on the bench eats into profits.
Boutique professional service firms with long client contracts are worth more than those with short contracts. Why? The further out a firm can forecast its revenues and profits the less risky the business is. Lower risk = higher valuation.
Remote work vs in office vs hybrid work continues to be a debate in the professional services industry.
Sales cycles are getting longer in boutique professional services, as 2023 unfolds.
Working on the business vs in the business requires management meetings.
Ever wonder when your peers have the management meetings?
Generating expansion revenue from existing clients is the most reliable growth strategy for boutique professional service firms.
Average Contract Value in Professional Service Firms
Scaling a boutique pro serv firm requires an increase in contract value overt time.
Why?
Boutique pro serv firms can be lumpy businesses. Matching revenue and expenses with limited forward visibility can be very hard.
Despite the great resignation, and recession fears, employee turnover in professional services remained low in 2022. By historical comparison, employee turnover in 2022 was not a problem for most firms.
Revenue per employee trends by firm size. Key Lesson: Boutique professional services firms must learn how to grow revenues without adding headcount.
