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B2B Services

Financial Clarityfor Service-Based Growth

Project accounting, utilization tracking, and strategic financial leadership for consultants, agencies, and professional service firms.

Analyze Your Project Profitability
Industry Challenges

Service Businesses Have Hidden Complexity

Professional service firms look simple on the surface but have distinct financial challenges.

Utilization and Capacity

Your inventory is people's time. Understanding utilization rates, capacity, and pricing to maximize revenue per hour is essential.

Project Profitability

Which clients and projects actually make money? Many firms don't know until they build proper project accounting systems.

Cash Flow Timing

Milestone billing, retainers, and delayed payments create cash flow patterns that require active management.

Partner Compensation

Allocating profit among partners fairly while motivating performance requires clear financial data and agreed methodologies.

Scaling Challenges

Adding headcount requires capital before new revenue materializes. Growing too fast can break cash flow.

Team collaboration
15.3%
S-Corp SE Tax Savings
Our Approach

Financial Infrastructure for Professional Services

Primary Service

Outsourced Controller & CFO Services

We provide the financial systems that service businesses need to scale:

  • Project accounting with profitability by client, project, and team member
  • Utilization tracking and capacity planning
  • Revenue recognition compliant with project-based requirements
  • Cash flow forecasting accounting for billing cycles
  • Partner reporting and allocation calculations
  • KPI dashboards: revenue per employee, realization rates, backlog
Tax Strategy

Tax Strategy for Professional Services

With accurate financial data, we optimize your tax position:

  • Entity structure optimization for pass-through taxation
  • Reasonable compensation planning for S-Corp owners
  • State tax nexus analysis for remote work and multi-state clients
  • Retirement plan design for maximum owner contributions
  • Qualified Business Income deduction optimization
Team strategy session
By The Numbers

Key Statistics

Rev/FTE
Key metric for service firm valuation
15.3%
S-Corp SE tax savings on distributions
20%
QBI deduction for qualifying income
FAQ

Common Questions

Generally when your net earnings from self-employment exceed $60,000-$80,000 annually. At that point, the S-Corp structure allows you to pay yourself a reasonable salary and take additional profits as distributions not subject to self-employment tax. We analyze your specific numbers to determine the optimal timing.
Partner compensation can include guaranteed payments, profit allocations, and distributions. The optimal mix depends on partner contribution levels, tax situations, and firm cash flow needs. We design structures that balance tax efficiency with fairness and operational needs.
It depends on partner ages, income levels, and preferences. Options include SEP-IRAs, SIMPLE IRAs, 401(k) plans with profit sharing, and defined benefit plans. For firms with income disparity between partners, certain designs work better than others.
Start with accurate time tracking and project accounting. Once you can see which clients and projects are profitable, you can adjust pricing, scope management, and staffing. Many firms discover that their biggest clients are actually their least profitable.

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Let's Analyze Your Project Profitability

Schedule a consultation to build financial systems that help your service firm scale.

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