Methodology
How we build the monthly list of California CPA firms most likely to sell in the next 24 months: the records we use, how the score works, what we remove, and how each release is checked. The weights and thresholds on this page come straight from the configuration that produces the list.
Sources
- California DCA public licensee file, Board of Accountancy, published at the start of each month (dca.ca.gov). It lists every CPA and CPA firm license with its address of record, original issue date and status.
- Our acquisitions and PE-owned lists, built from public announcements. Every entry cites its source.
- Peer review records we are permitted to use, where available.
- US Census ZIP Code Tabulation Areas (2025 Gazetteer) to place firms on the map at their ZIP code's center.
Every file behind a release is stored unchanged with a SHA-256 fingerprint, and every firm's profile links to its sources and data date.
CPAs at a firm
State records don't say which CPAs work where, so we match them. A CPA counts toward a firm when their public address of record matches the firm's office address exactly, including the suite number, or when their surname appears in the firm's name and they share its ZIP code. Addresses shared by more than one firm are not used for matching. Only licenses with Current status count.
Some CPAs list a home address, so counts can be low. We show them as “CPAs at this firm (state records)” for that reason.
The score
Each firm gets 0 to 100 points from five signals:
| Signal | Weight | What it measures |
|---|---|---|
| Lead CPA tenure | 30 | Years since the name partner's license was issued (else the longest-licensed CPA at the firm). No points under 15 years, full points at 35+. |
| Successor gap | 20 | Firms with senior CPAs (25+ years licensed) and few junior CPAs (under 15 years) behind them. |
| Size fit | 20 | CPAs at the firm. Full points for 3 to 25; fewer points for very small or large firms. |
| Peer review timing | 15 | Next review period estimated as the last period end plus 3 years. Full points within 18 months; a neutral value when we have no record. |
| Service mix | 15 | An analyst's rating of the firm's services where we have one; neutral otherwise. |
Scores are shown as whole numbers. Bands: High is 75 and above, Medium 50 to 74, Low below 50. Every score lists the three signals that contributed the most, in plain words.
What we remove
- Firms matched to a known acquisition or PE owner. Close matches that might be the same firm are held back until a person checks them.
- Firms whose license isn't Current, and firms with no CPAs found in state records.
- Firms and people who asked to be removed (see removal requests).
How each release is checked
Automatic checks must all pass: no duplicate licenses, no removed or held-back firms in the list, complete rows, only Current licenses, and no unexpected jump in the number of records from the previous month. Then a person checks 50 random firms from the top 100 against the state license search and public deal news; at least 95% must be correct on every check. A state's first release is published only after that check.
After that, a monthly refresh can go live as soon as the state publishes its file, before its hand check, but only if it passes every automatic check and changes little from the last checked release: firms on the list within 5%, at least 85% of the top 100 unchanged, and no more than 3% of scores moving 15 points or more. Its hand check follows within 7 days, and the app shows the due date until it's done. If fewer than 95% pass, or the check isn't finished in time, we withdraw the release, customers go back to the last checked one, and we email anyone who exported from it.
What the score is not
It is not a statement that any firm is for sale, and it is not financial, legal or investment advice. Revenue and headcount aren't public, so firm size uses a CPA count. Recent deals may not be in our lists yet. Firms move up and down as the records change.