Moss Adams merges with small Sonoma County firm Mengali Accountancy
Seattle-based Moss Adams LLP, billed as one of the largest U.S. accounting firms, has merged with Healdsburg’s Mengali Accountancy Inc., the two firms confirmed.
The transaction closed on Aug. 1. Financial details of the transaction weren’t disclosed by Moss Adams, which entered into an asset purchase agreement in June in which the firm took possession of a “majority” interest.
Mengali founding principal Renee Mengali and Chris Paris, a partner in Moss Adams’ Healdsburg office, could not be reached for comment.
Mengali will come on board with Moss Adams — which manages about 3,800 employees across 30 locations, the announcement said. The firm plans to use the Mengali office.
In 2003, Mengali started the public accounting business located on Foss Creek Circle, building the staff to 22 employees in 15 years, according to a Women in Business award profile by North Bay Business Journal.
Consulting.us, an industry website reporting on the deal, stated that the Mengali workforce has nearly doubled over the company’s history. The site also ranked Moss Adams as the 12th largest accountant firm on the 2021 IPA Top 400 list, with $824.7 million in annual revenue
Mengali principals Debbie Warren and Keith Hollander and other staffers were also expected to join Mengali at Moss Adams.
"I take great pride in strategically aligning with Moss Adams since we've worked together for many years, and we mutually respect one another. It's an easy choice and transition for us," Mengali said in the announcement.
Management at Moss Adams called the merger “a natural fit,” the release said. Chairman and CEO Eric Miles cited the company’s ability to strengthen its footprint as a major benefit to the deal.
"Mengali has been providing an exceptional client experience for their outsourced accounting services, and they took steps early on to invest resources for streamlining processes to meet their clients' needs,” Moss Adams consulting managing partner Mark Steranka said in the joint news release.
According to Consulting.us, Mengali applauded the joint venture, singling out the merger as an avenue for “new growth opportunities” in the future.
Accounting mergers have become a prevalent practice, particularly in the North Bay.
BPM LLP of San Francisco — another large accounting firm — announced its merger with Santa Rosa-based Elliott CPA Group Inc. as reported in the Business Journal on June 13. With that joint venture, BPM had completed its fourth merger in two years.
Susan Wood covers law, cannabis, production, tech, energy, transportation, agriculture as well as banking and finance. For 27 years, Susan has worked for a variety of publications including the North County Times, Tahoe Daily Tribune and Lake Tahoe News. Reach her at 530-545-8662 or susan.wood@busjrnl.com.
This story has been updated to reflect the addition of the asset purchase agreement and to note the Mengali office will stay open.
