BDO USA acquires IT firm SWC Technology Partners
IT solutions firm SWC Technology Partners has been acquired by BDO USA – one of the largest and fastest-growing accounting and consulting firms in America. The deal strengthens BDO’s IT advisory capabilities, swells its headcount with 215 additional staff, and adds offices in Oak Brook, IL, and Indianapolis.
Accounting and consulting firm BDO USA – which is part of BDO Global, the fifth-largest professional services network in the world – has performed strongly in recent years. From 2012 to 2017, BDO USA’s growth rate beat out all other major US accounting firms, with the firm’s revenues more than doubling from $618 million to $1.41 billion.
As such, BDO has been eager to acquire talented organizations in order to grow and keep up with demand for its accounting and advisory services. With both organic and inorganic expansion, BDO USA has entered 24 new US cities and grown its size in 13 existing markets in the last five years. The firm recently acquired Wisconsin-based Smith & Gesteland, a consultancy which provides accounting, tax, HR management, and IT services to mid-market businesses.
The firm has now acquired another company geographically close to its Chicago headquarters, and which also serves mid-market clients. BDO recently announced that it had purchased Oak Brook, IL-based IT solutions firm SWC Technology Partners. Founded in 1980, SWC provides managed services, data analytics, cloud, and custom app development to mid-market businesses. SWC also supports IT infrastructure (communications, networks and security), as well as software solutions like Microsoft Office 365.
“We are extremely pleased to add the impressive resources of SWC Technology Partners to our advisory services practice,” commented Jay Duke, National Managing Partner for Advisory Services at BDO USA. “Like BDO, SWC has been a valued business advisor to middle market businesses for many years, providing technology solutions that match the needs of midmarket organizations. In adding SWC, which has more than 400 clients, we’ve added a well-established, regional player that we can build into a market leading national platform.”
The acquisition bolsters BDO's advisory services practice, particularly its capabilities in servicing the IT needs of its clients. The deal will bring 215 total staff, including nine principals, to BDO’s advisory practice. SWC will operate as a wholly-owned subsidiary out of its current offices in Oak Brook and Indianapolis. SWC was previously a portfolio company of Svoboda Capital Partners, a Chicago-based private equity firm.
“By joining BDO, a leading national brand with expansive global resources, we will have a wider platform and more delivery channels to continue building upon our success,” added Bob Knott, president of SWC Technology Partners and now a BDO principal. “BDO’s entrepreneurial culture and the firm’s well-earned reputation as an outstanding workplace fits well with our own. Our people will now have more opportunities to serve a broader client base and to grow their careers.”
SWC was advised on the sell-side of the transaction by investment bank Petsky Prunier. The acquired IT firm has been previously recognized as an Inc. 5000 Fastest Growing Company in America, a Built in Chicago Top 100 Digital Tech Company, and a Microsoft Midwest Partner of the Year. The firm has also been named a Chicago Top 100 Best & Brightest Company, and a Chicago Tribune Top 100 Workplace.
BDO USA has more than 60 offices across the US, and can leverage the resources of BDO Global – which boasts 73,000 employees in 1,500 offices across 162 countries. BDO ranked seventh on Accounting Today’s Top 100 Firms of 2018.
