What if growing your accounting firm meant intentionally serving fewer clients? While this strategy may sound counterintuitive, one firm discovered a leaner client roster was the secret to success: they grew from $2 million to $3 million in revenue while reducing their client base from 2,400 clients to just over 100.
In a recent episode of the Who’s Really the BOSS? podcast, Rachel and Marcus Dillon shared how their firm achieved this transformation over the past seven years. Instead of endlessly pursuing higher client volumes and ever-expanding tech stacks, they prioritized building a scalable infrastructure and preserving a strong culture—an approach that might turn traditional assumptions about firm growth upside down.
Rethinking Growth: Less Can Be More
2017, Dillon Business Advisors brought in an average of $2M annually in revenue from 2,400 tax clients—what many would view as a thriving practice. But despite its profitability, this high-volume model came with challenges. Tax work accounted for 80% of revenue, leading to heavy accounts receivable cycles and intense tax seasons that strained the team and its infrastructure.
In a bold and seemingly paradoxical move, the firm began strategically exiting large blocks of clients.
“We exited blocks of clients that equated to more than $1 million of revenue,” Marcus explains. “And that growth from $2 million to $3 million while exiting clients was very hard.”
This shift required restructuring leadership, implementing new processes, and thoroughly rethinking client service. Along the way, the Dillons solidified the philosophy that true, lasting growth depends on establishing a solid base first—before taking on new business.
Today, the firm supports about 100 monthly clients and 10 to 15 family groups, generating $3M in revenue, with 75% arriving through monthly recurring revenue. This deliberate, high-value approach replaced the burn-and-churn cycle of their previous volume-focused model.
Building a Scalable Foundation
Armed with lessons from their challenging transition, the Dillons focused on building infrastructure through two main channels: technology consolidation and process refinement.
Streamlining Technology
Instead of adding more applications, the firm focused on maximizing its core technology stack.
“Your client base and where you’re at revenue-wise should drive the processes and the technology you use, not the opposite way around,” says Marcus.
While the average accounting firm might rely on 30 different apps, Dillon Business Advisors consolidated. Rather than deploying specialized reporting tools, they maximized features in their existing software. They also merged communication platforms, moving their phone system to Zoom to unify it with their video conferencing solution.
Perfecting Processes Before Automating
Dillon Business Advisors applied the same philosophy to refining operational processes, especially for onboarding new clients. The firm adopted a “team of three” model—assigning a client service manager, controller, and CFO to guide each client’s onboarding. Before adding automation, they made sure the manual process ran smoothly.
“We had to look at the process and figure out exactly what we needed to solve for,” explains Rachel. “And then we chose the technology to put in that place.”
As a result, the team now completes a full client onboarding—including bookkeeping setup, tax review and proforma, and initial financial reporting—in just two to three weeks, all without sacrificing service quality for existing clients.
Cultivating Culture for Sustainable Growth
Alongside technology and process refinement, the Dillons knew preserving firm culture was vital for sustainable expansion. They introduced two key strategies: creating development paths for existing staff and adopting a culture-first approach to acquisitions.
Developing Internal Leadership
In mid-2024, Dillon Business Advisors launched a Subject Matter Expert (SME) program, enabling employees to grow their leadership skills without changing roles. SMEs receive extra compensation for staying up-to-date on industry changes and mentoring team members in specific areas like payroll, tax, or QuickBooks Online.
“They don’t have to move to a different role within the firm,” Rachel says, “And they don’t have to look outside the firm to work on their leadership development.”
This initiative helped the firm retain top talent while cultivating deep in-house expertise.
Culture-First Acquisitions
Their cultural focus also shapes the firm’s acquisition strategy. Rather than scooping up just any practice, the Dillons specifically target sub-$1 million firms with teams of five or fewer. Cultural alignment, not potential revenue, drives their decisions.
“We definitely want to maintain everything we’ve built at DBA and not dissolve into another brand or another culture,” Marcus adds.
Applying these selective criteria ensures each new addition strengthens rather than dilutes the firm’s carefully nurtured culture.
Conclusion: Build First, Then Grow
Dillon Business Advisors’ evolution from a sprawling 2,400-client roster to a specialized firm illustrates that growth isn’t just about scaling up in size. By consolidating technology, refining processes, and investing in culture, they’ve built a more profitable and resilient business model that runs on monthly recurring revenue rather than seasonal peaks.
For firm owners looking to grow more sustainably, the Dillons recommend building the foundation first. Then, when your people, processes, and technology are in place, growth can happen without the chaos that often accompanies rapid expansion.
For deeper insights into these strategies, listen to the full episode of the Who’s Really the BOSS? podcast. The Dillons share practical, real-world guidance for any firm owner on a growth journey.
Rachel and Marcus Dillon, CPA, own a Texas-based, remote client accounting and advisory services firm, Dillon Business Advisors, with a team of 15 professionals. Their latest organization, Collective by DBA, supports and guides accounting firm owners and leaders with firm resources, education, and operational strategy through community, groups, and one-on-one advisory.