Mergers and acquisitions in accountancy are booming. Every week there is another announcement of firms consolidating, baby boomer owners retiring, and private equity moving in. But as Cerith Williams (Unity Accountancy) and Neil Criddle (ND Consultancy) shared in our recent webinar hosted by Andy Collings, signing the deal is just the beginning.
The real challenge? Aligning people, processes, and technology once the ink is dry.
Why the wave of M&A isn’t slowing down
Both panellists pointed to two driving forces:
- Retiring baby boomers – Smaller firms are looking to exit before Making Tax Digital becomes unavoidable.
- Private equity at the top end – Larger firms are snapping up mid-tier practices, creating pressure for smaller firms to either scale or sell.
For ambitious firms, acquisitions are an opportunity to move up a layer. But as Neil put it, “Many vendors are still running a job, not a business. That creates big challenges when you step in.”
The underestimated challenge: post-merger integration
Deals often focus on valuation multiples, client books, and headline growth. Yet the hidden costs come later when legacy systems, ingrained habits, and undocumented processes collide.
Cerith learned this quickly: “The firm we acquired had four times as many clients and ran practice management entirely through Excel. Mapping out our own processes in advance was the only thing that made scaling possible.”
Neil agreed: “People are the real risk. Meet the team before you complete. Their buy-in can make or break the transition.”
Quick wins vs. non-negotiables
The panellists stressed the importance of balancing flexibility with firm-wide standardisation:
- Quick wins – Tools like receipt capture immediately free up time and win staff support.
- Non-negotiables – Core systems like practice management and billing must be aligned from day one to avoid cashflow or compliance risks.
- Flexibility at the edges – Client-facing tools can remain varied (for example supporting both Xero and QuickBooks) but back-office systems need consistency.
As Cerith put it, “Build your firm like it’s franchisable. Document everything, but leave room to evolve when better ideas surface.”
Technology as an enabler, not the starting point
Both agreed that the order matters:
- Review and consolidate your tech stack.
- Document and update SOPs.
- Train and communicate with staff continuously.
Neil’s advice: “It’s pointless writing SOPs first, only to rip them up when you change software. Standardise the tech, then embed the processes.”
For his firm, integrating SIFT Analytics unlocked new advisory opportunities. For Cerith, moving from manual bank statements to cloud tools was transformative. In both cases, Active was adopted to bring order and consistency to workpapers, creating a foundation for everything else.
Practical advice for firm leaders
- Don’t rush to change everything on day one. If the firm was working before, it will continue to work while you stabilise.
- Standardise where it matters most such as practice management, billing, and compliance workflows.
- Look for quick wins that staff will feel immediately, saving time and reducing frustration.
- Document processes collaboratively and keep them live. Empower your team to own and update SOPs.
- Never underestimate the role of marketing in making your firm an attractive acquirer. Visibility matters to vendors, staff, and clients alike.
The Active takeaway
Successful post-merger integration is not about finding an all-in-one system. It is about creating a standardised, cloud-first foundation that flexes with your firm rather than forcing a one-size-fits-all model.
That is where Active fits in: a modular, Excel-native, cloud-based platform that lets you scale without chaos.
If you are planning an acquisition, or already navigating the challenges of one, book a demo to see how Active helps firms integrate faster with less disruption and more confidence.