Reverence Capital Partners, a private investment firm concentrating in financial services, and Eide Bailly, one of the top accounting and advisory firms in the country, have reached a definitive agreement for funds managed by Reverence Capital to make a substantial investment in Eide Bailly.
This strategic partnership will help Eide Bailly ramp up its growth by giving the company the means to recruit good people, purchase modern technology and equipment, improve facilities, and come up with innovative solutions for clients. Also, with the collaboration, the two firms plan to help each other broaden their advisory capabilities and deliver greater value to clients over time, as the clients’ challenges continuously become more complex and integrated with areas like artificial intelligence, data handling, digital transformation, etc.
Starting as a regional accounting practice in 1917, Eide Bailly is currently among the top 20 accounting and business advisory firms in the US. Also, the company has more than 3,500 employees, over $800 million in annual revenue, and more than 50 offices across the country. Besides, the company has gained the public’s trust with accounting, tax, and advisory services that are complete and also a culture that values honesty, teamwork, and client achievement.
Eide Bailly‘s recent expansion has been a combination of strong internal growth and acquisitions of new firms, which have increased both its service lines and geographical footprint.
The company will still be guided by its current executive team: Managing Partner and CEO Jeremy Hauk and Chief Operating Officer Andy Spillum. Also, this senior leadership team is very experienced in working with different types of clients across various industries and market segments.
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“Eide Bailly fits all the criteria we look at when investing in a company: a client-first approach, exceptional leadership team, unique culture, and robust expansion strategy,” said Milton Berlinski, Co-Founder and Managing Partner of Reverence Capital. “We see meaningful opportunities to invest in the firm’s talent, technology, and infrastructure in ways that strengthen the value proposition for clients and further enhance Eide Bailly’s impressive organic growth trajectory and acquisition track record. Most importantly, we share the same belief that the firm’s people, culture, and relationships are the foundation that everything else is built on. We are excited to work with Jeremy, Andy, and the rest of Eide Bailly’s leadership team as we position the firm for future success.”
Reverence Capital brings significant experience supporting the growth and operational development of professional services organizations. The investment aligns with Eide Bailly’s long-term commitment to building enduring client relationships while continuing to evolve alongside changing market demands.
“As the current stewards of a 109-year-old firm, it’s important to us to leave it better for the next generation. At its core, this is about staying focused on what our people and clients need from us – today and in the future,” said Jeremy Hauk, Managing Partner/CEO of Eide Bailly. “Our clients are navigating increasing complexity across technology, data, and AI capabilities, and this strategic partnership will allow us to provide deeper expertise and solutions that help them move forward with confidence. We are thrilled to work with Reverence Capital and are confident they are the ideal partner to propel our next phase of growth. And importantly, they stand out as a team who shares our values.”
The transaction is expected to be concluded in the third quarter of 2026, only if the parties fulfill the standard regulatory approvals and closing conditions.
After the deal, Eide Bailly will switch to another practice format that is becoming quite popular in the accounting profession. As this model, Eide Bailly LLP will stay a CPA firm licensed to provide attestation services, like conducting audits and review. While not a licensed CPA firm, Eide Bailly Advisory LLC will be involved in providing advisory and other non-attest services only.
This arrangement aims to maintain the independence and regulatory compliance necessary for attest engagements, whereas at the same time, it allows more flexibility for investment, innovation, and advisory service expansion.
In fact, clients are anticipated to experience the same level of service throughout the transition. However, the new structure will enable the firm to effectively respond to the changing business environment. The firm will leverage this financial commitment to not only provide enhanced expertise and diverse capabilities but also introduce solutions that look ahead while preserving the long-standing trusted relationships that the firm has been known for over a hundred years.
Kirkland & Ellis LLP and Vedder Price were the legal matters consultants to Reverence Capital. Eide Bailly retained BMO Capital Markets as its financial advisor, and has also utilized Hunton Andrews Kurth LLP as their legal counsel.
