Market Research Report

Accounting Firm opportunities in Newport News, VA
$51,477 Potential Yearly Earnings What's this number?
$177,493 Net Present Value What's this number?

  Financial Projections

Based on the parameters below, we project this business would break even in 2.0 years with a net present value of $177,493.

Net Cash Flow over 5 years

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
Net Revenues $257,385 $386,078 $514,771 $538,087 $562,459
Net Costs $231,647 $347,470 $463,294 $484,278 $506,213
Net Operating Profits $25,739 $38,608 $51,477 $53,809 $56,246
Capital
      Startup Cost -$50,551
      Terminal Value $168,738
Net Cash Flow -$50,551 $25,739 $38,608 $51,477 $53,809 $224,984

Startup costs are estimated as the larger of PYE and median income multiplied by the cost of living in the city. The positive cash flows in years 1 to 5 are estimated from the PYE. The first year is discounted by 50%, the second year is discounted by 75%, the fourth through tenth years are inflated according to a growth rate estimated from the GDP growth rate of the state. The profit margin is defaulted 10%. In year 5 a “terminal value” equal to the year 5 net operating income times three is added. The hurdle rate is defaulted to 15%. All values are net of taxes.

Financial Parameters

Change these parameters to customize your financial model

  Statistical Analysis
How is this opportunity calculated?

The following ten market factors are the most important determinants used to calculate the need for businesses of this type in Newport News.

  1. median income
  2. July temperature
  3. August temperature
  4. gross rent
  5. population density
  6. house price
  7. land area
  8. business activity
  9. February temperature
  10. nearby population

  Competitors

Accounting firms or individuals that provide accounting, tax filing, or related financial services to clients.

H&R Block National Competitor
329 Main St Newport News, VA 23601

H&R Block National Competitor
13175 Jefferson Ave Newport News, VA 23608

H&R Block National Competitor
884 J Clyde Morris Blvd Ste 20 Newport News, VA 23601

H&R Block National Competitor
30 Newmarket Sq Ste 16 Newport News, VA 23605

Debbie Price & Associates, PLLC Local Competitor
780 Pilot House Dr Suite 200-A Newport News, VA 23606

TIP: Your market is dominated by national chains. Consider entering the market with an independant business or a regional franchise.

  Suppliers & Service Providers Contact List

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  About Newport News and its Consumers

Newport News is an independent city located in the U.S. state of Virginia. As of the 2010 census, the population was 180,719. in 2013, the population was estimated to be 183,412, making it the fifth-most populous city in Virginia. Newport News is included in the Hampton Roads metropolitan area. It is at the southeastern end of the Virginia Peninsula, on the northern shore of the James River extending southeast from Skiffe's Creek along many miles of waterfront to the river's mouth at Newport News Point on the harbor of Hampton Roads. With many residents employed at the expansive Huntington Ingalls Shipbuilding, the joint U.S. Air Force-U.S. Army installation at Joint Base Langley–Eustis, and other military bases and suppliers, the city's economy is very connected to the military. The location on the harbor and along the James River facilitates a large boating industry which can take advantage of its many miles of waterfront. Newport News also serves as a junction between the rails and the sea with the Newport News Marine Terminals located at the East End of the city.

Newport News is an independent city located in the U.S. state of Virginia. As of the 2010 census, the population was 180,719. in 2013, the population was estimated to be 183,412, making it the fifth-most populous city in Virginia. Newport News is included in the Hampton Roads metropolitan area. It is at the southeastern end of the Virginia Peninsula, on the northern shore of the James River...

description source
  • Population
    Population (2012) 180,726
    Population Density 2,630 ppl/sq mi
    Population Growth Rate 0.0%
    Median Income $48,976
    Median Age 32.3
    Unemployment 6.6%
    Family Household Percent 63.5%
    Avg. Household Size 2.5
    Avg. House Price $204,200
    Foreign Born 7.0%
    Married 36.5%
    Cost of Living 51.5%
  • Average Temperature
    January 40.7°F 4.8°C
    February 42.8°F 6.0°C
    March 50.1°F 10.1°C
    April 59.5°F 15.3°C
    May 67.8°F 19.9°C
    June 76.3°F 24.6°C
    July 80.0°F 26.7°C
    August 78.1°F 25.6°C
    September 72.5°F 22.5°C
    October 62.1°F 16.7°C
    November 53.2°F 11.8°C
    December 44.0°F 6.7°C
  • Demographics
    White 46.3%
    Hispanic / Latino 7.6%
    Black / African American 39.4%
    Asian 2.9%
    Native American 0.1%

  Market & Regulatory Conditions For Virginia

Third parties rate Virginia's business and regulatory conditions according to their own methods. We report them here for informational purposes.

  • Small-Business Friendliness
    Overall small business friendliness A
    Ease of starting a small business A-
    Cost of hiring a new employee A
    Overall regulatory friendliness B+
    Friendliness of health and safety regulations A-
    Friendliness of employment, labor, and hiring regulations A-
    Friendliness of tax code A-
    Friendliness of licensing regulations A
    Friendliness of environmental regulations A-
    Friendliness of zoning regulations B
    Publicity of training programs A-
    Publicity of networking programs A-
    Current economic health of small business 39th/50
    Change in revenue over past 12 months 26th/50
    Forecast of small business's future economic health 12th/50
    Source: Thumbtack.com (2012)
  • Business Friendliness
    Overall Business Friendliness 8th/50
    Cost of Doing Business 30th/50
    Economy 29th/50
    Infrastructure 19th/50
    Workforce 10th/50
    Quality of life 22th/50
    Technology and innovation 10th/50
    Business friendliness 5th/50
    Education 9th/50
    Cost of living 32th/50
    Access to capital 19th/50
    Source: CNBC (2014)
  • Tax Friendliness
    Virginia Corporate Tax Rate 5.3%
    Avg Local Corporate Tax Rate in Virginia 0.3%
    Avg Combined Corporate Tax Rate 5.6%
    Overall tax friendliness 27th/50
    Corporate tax rank 6th/50
    Individual income tax rank 39th/50
    Sales tax rank 6th/50
    Unemployment insurance tax rank 37th/50
    Property tax rank 26th/50
    Source: Tax Foundation (2015)

  Suggested Cities & Businesses

The following cities have the highest PYE for Accounting Firm within 500 miles of Newport News based on a number of market characteristics. See More Results

The following businesse types have the highest PYE in Newport News. See More Results