Gould + Partners pioneered the practice of benchmarking for the public relations industry in 1987. After more than 35 years of in-depth surveys and analysis, we’ve helped clients evolve their businesses to adapt to changing markets, implement new business practices, and apply benchmarking data to ultimately increase profitability and value to their firm. Our clients…
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M&A Articles and Blogs
How to Recession-Proof Your Firm
If you’ve been watching the news, reading the papers or listening to the pundits, chances are you may be convinced that we’re already in a recession. My opinion, after a full year of taking the pulse of the industry—via the annual surveys published by Gould+Partners—is that the PR industry will not be facing a recession….
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Good Deals/Great Deals
A ‘good’ deal is when each party feels relatively positive about the outcome. Making each party emerge a winner is the essence of a ‘great’ deal. Often, conceding to the other party what they want will not impact what you want in a material way. I always put myself in the place of the person…
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2022 TRENDS IN PR – MERGERS, ACQUISITIONS AND MORE
All signs point to 2022 being a very good year for public relations agencies. We’ve looked into our crystal ball and predict these trends for 2022. Overall public relations trends Increasing emphasis on DEI (Diversity, Equity, and Inclusion) Customers want brands to take a stand on social and political issues, and clients are responding. PR…
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Knowing What Your PR Firm Is Worth
Valuing PR agencies is a complex process. It takes financial expertise, knowledge of the M&A marketplace and an understanding of how buyers create offers/term sheets. Term Sheets presented by buyers to sellers for the acquisition of the seller firm are customized based on several factors. “Recasted” Operating Profit for the past three full years plus…
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The Earn-Out Model Works!!
The earn-out model has been the gold standard for the 20+ years that I have been doing mergers and acquisitions. It is a proven, fair model used by all major PR firm buyers from holding company firm buyers to mid-size firm buyers to bolt-on firm buyers. The appeal and benefit of the earn-out model is…
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How to Build a Business Plan Exit Strategy
Establishing an exit strategy isn’t something owners of PR firms and advertising agencies typically think about as part of their business plan. However, when it comes time to leave, it’s important to have a plan in place to protect accumulated wealth, as well as to smoothly transition the business to the new owner, and to…
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Compensation: Clients Who Fit the Bill
Healthy client relations are the lifeblood for PR agencies. Every client is unique, of course, with disparate needs, and PR agency owners often must take pains to provide those services, as well as a trust-based relationship. When it comes to effectively serving clients, one size doesn’t fit all. The same holds true for agency billing….
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PR Firms Remained Profitable in 2020
U.S. PR agencies managed to remain profitable in 2020 despite the severe economic damage wrought by the COVID-19 pandemic, according to an annual industry survey conducted by PR merger and acquisition consultancy Gould+Partners. Gould+Partners’ latest Benchmarking report, which analyzes key factors affecting PR firm profitability, found that PR agencies in 2020 saw, on average, profitability…
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Looking Back 20 Years on June 1, 2021 and The Impact on PR firm M&A Transactions
It was June 1, 2001. Google was just a pup and Facebook and Twitter hadn’t been born yet. Advertisers were still purchasing print media. As far as creative services firms were concerned buyers had a clear delineation between marketing and PR shops. June 1, 2001 was also when I sold my CPA firm and started…
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Psychological Buy-in Critical for Exit Strategy
Amid the dramatic and ongoing changes within the marketing communications industries is the accelerating rate of M&A transactions within the PR field. PR firm owners, including heads of boutiques, smaller shops and mid-size firms, are giving more serious consideration to selling. Many of these owners are products of the baby-boom generation and would like to…
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Why PR Firms Need an Exit Strategy From Day One
We advise our clients to build their PR firms “as if” they plan to sell it. That’s because this mindset not only prepares our clients for the last day they own their company, our experience shows that it maximizes profitability, builds value and intelligently guides business decisions. An integral part of this approach is the…
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