Accounting
Springline Advisory adds HM&M and Clark, Raymond
Springline Advisory, backed by private equity firm Trinity Hunt Partners, has invested in two more accounting firms, HM&M Advisory, based in Dallas, and Clark, Raymond & Company in Redmond, Washington.
Trinity Hunt Partners, a Dallas-based PE firm,
HM&M’s annual revenue is $21,970,805 and has approximately 110 employees. Clark, Raymond & Company earns between $8 million and $9 million in revenue and has nine people listed on its website. With these two partnership additions, Springline Advisory’s headcount will grow to roughly 250, and total partnership revenue with both firms will be north of $30 million.
“We’re making investments in likeminded firms and evolving into a firm together,” said Springline Advisory CEO Tim Brackney. “We’re looking for strong leadership and a growth trajectory with firms and teams that are looking for scale. They don’t need an investment, but recognize that to move faster and to provide more opportunity for their people, and to have more capability within their four walls, that it makes sense to join a group of firms that are evolving into one firm focused on the middle market.”
HM&M has been operating for more than 40 years and provides tax, assurance and accounting services. “This is a pivotal moment for HM&M,” said managing partner Susan Adams in a statement Wednesday. “This strategic combination will allow us to leverage the strengths of a larger firm while maintaining the personalized service and deep client relationships that have always defined us. This partnership will empower us to provide even more comprehensive and innovative solutions to our clients and more depth of opportunity for our people.”
Koltin Consulting Group CEO Allan Koltin advised HM&M and Springline Advisory on the deal.
“Springline Advisory is becoming a major force in the accounting and advisory services space. HM&M was a firm that many other larger firms wanted to combine with,” Koltin said in a statement. “They are fortunate to have great leadership and a stable of young “next-gen” stars both at the partner and manager/associate level. HM&M has some significant expansion goals for the future and found Springline to be the perfect strategic, cultural, and capital partner to help them achieve those goals.”
Brackney said Springline wants to have a presence in most major geographies, and that includes the Seattle metropolitan area where Clark, Raymond & Co. is based. CRC offers advisory, assurance and tax services. For all the firms that Springline invests in that have assurance or attest businesses, such as HM&M and CRC, Springline sets up an alternative practice structure, as is common with private equity funding of accounting firms.
“We’ve provided personalized services to businesses, nonprofits and community members throughout the Northwest region for more than 25 years, and we’re looking forward to expanding our capabilities and co-creating an irresistible culture with Springline,” said Ed Clark, founding and co-managing partner of CRC, in a statement. “Joining Springline as a founding firm member allows us the opportunity and privilege to continue to create impact not only in our community but within the industry, too.”
When firms join Springline, their partners generally return some rollover equity in the combined firm. They initially retain their branding, but that evolves over time. “Some of that evolution will be bespoke, depending on the firm and the strength of their individual brand,” said Brackney. “Generally, the evolution will be a sort of side by side branding, where within the first three months it will say CRC has joined Springline, and then it will go to an endorsed brand, which would be CRC, a Springline company, and then eventually it will just be Springline.”
Redmond is the home of Microsoft and Seattle is the headquarters of Amazon. Springline will probably be inheriting many individual clients who are employees of the two companies, although CRC isn’t large enough to audit either of the tech giants.
Brackney hopes to expand Springline further across the U.S. “We’re in active talks in in other parts of the country, the Northeast, Southeast, on the West Coast,” he said. “We kind of started in the center of the country, in the Midwest, and we’ve just made an investment here in the Southwest. We’ve thought of those generally as the regions where that’s what we’re focusing on from a geographic perspective. But our firm is not simply just trying to sort of aggregate different geographies together and different firms together. We’re also looking at depth and service line capability.”
The private equity funding will help finance those deals. “PE is one of the financial levers that we use to make those investments, but we’re really founding a firm and building a firm with PE as a financial partner,” said Brackney.
AI-specialized accounting platform company
“We’re putting every dollar back into the platform and team – to invest in ML research, to continue to bring the most cutting-edge AI to accounting firms, and to open additional slots for firms,” said Matt Harpe, Basis co-founder, in an email.
Basis, which emerged from stealth
“This technology is a new paradigm for accounting. Learning to work with your computer, not just on it, might be an even bigger shift than going from paper to digital. Over the last year, as accountants have experienced what’s possible with the most cutting-edge AI, we’ve seen more and more firms decide that AI must become the top strategic priority. We’re excited to continue to equip firms with AI that actually works,” said Mitch Troyanovsky, Basis co-founder in an email.
Basis sells exclusively to accountants versus selling directly to businesses or building ‘new’ accounting firms, and is tailored specifically for use by expert accountants. Basis focuses on building agents that understand, and can operate on, accounting broadly instead of isolating only a specific task. This allows Basis to work across clients and workflows without losing context, and to quickly take on new workflows, said Basis. Accountants onboard Basis to engagements and assign it core workflows for one-time or ongoing execution
“Accounting is a massive industry, and Basis is clearly leading on the AI side. This is one of the few AI agents that’s already deployed and working. Matt and Mitch have put together the best NYC team in the applied AI space,” said Vinod Khosla, founder of Khosla Ventures, who also co-founded Sun Microsystems.
Platform Accounting Group has added two more accounting firms, based in Indiana and Illinois, bringing the total firms that have joined the Utah-based company this year to 12.
Platform Accounting Group, founded in 2015, invests in and acquires small accounting firms, and announced it
Midwest Advisors, formerly known as Philip+Rae & Associates, is headquartered in Naperville, Illinois, and has provided fractional CFO roles, controllership and back-office accounting operations for more than 30 years. Additionally, the firm offers tax preparation, accounting and auditing, financial planning, estate planning, payroll services, small business consulting, bookkeeping, back-office accounting, small business consulting and more.
In operation for 30 years, Indianapolis-based Crossroads Advisors, formerly Peachin Schwartz + Weingardt, serves high-net-worth individuals, closely-held businesses and not-for-profit organizations. The firm supports clients throughout their life cycle, from the startup phase to mature businesses seeking an exit or succession strategy.
“Because of my experience and time there, I deeply value the tight-knit community and small-town feel of the Midwest,” said Reyes Florez, CEO of Platform Accounting Group, in a statement. “We are thrilled these firms, who like us, prioritize relationships and roots, are joining our group and will be able to invest even further in their clients and communities.”
Platform Accounting Group has nearly 1,000 employees across 12 states and expects to add a few more accounting firms in January, the company said.
The Securities and Exchange Commission today
The budget totals $399.7 million, which funds 945 positions. The accounting support fee totals $374.9 million, comprising $346.1 million for public company issuers and $28.8 million for registered broker dealers.
The 2025 budget is a 3.8% increase from this year’s budget of
“Well-functioning financial markets are built on trust,” SEC Chair Gary Gensler said in a
“While the 2025 budget assumes a necessary increase in the ASF overall, we anticipate the smallest billable issuers will see no increase, while the median difference per bill for issuers will likely be only $100, “PCAOB chair Erica Williams said in a statement.
Williams added, “This budget enables us to both provide our staff with competitive compensation that acknowledges their extraordinary work on behalf of investors and retain them, as well as attract new, expert talent to help us meet our investor-protection mission.”
The Sarbanes-Oxley Act of 2002 provides the SEC with oversight responsibility over the PCAOB, including reviewing and approving the PCAOB’s annual budget and accounting support fee.
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