Earnings to normalise before valuing a consulting practice
Rebuild earnings from billable capacity, realised rates, recurring assignments, project margin and partner remuneration. Do not count an uncommitted pipeline as contracted work.
Due-diligence priorities for a consulting practice
Review customer mandates, notice periods, conflicts, professional cover, staff and contractor terms, intellectual property and outstanding delivery or warranty obligations.
Protect continuity while a consulting practice changes hands
Use a client-by-client introduction plan and document project history, commitments, templates, commercial terms and the seller's limited transition role.