H.I.G. Capital has made a strategic growth investment in HBK, becoming the accounting, tax, technology and wealth management firm’s first institutional investor. The deal is expected to close during the fourth quarter of 2026, subject to customary closing conditions.
HBK’s existing partners will continue leading the firm following the transaction, preserving continuity across its professional services businesses while adding institutional capital to support future growth.
HBK operates 27 offices across seven U.S. states and India and serves tens of thousands of clients across accounting, tax, advisory, wealth management and technology-related services.
The firm’s platform includes HBK CPAs & Consultants, HBKS Wealth Advisors and Vertilocity, its technology advisory and managed services business.
The investment marks a significant step in HBK’s development as it brings in an institutional capital partner for the first time.
H.I.G.’s backing is expected to provide additional resources for organic expansion, technology investments, talent development and potential strategic acquisitions.
Professional services firms are increasingly turning to outside capital as they look to scale faster, invest in digital capabilities and broaden the range of services available to clients.
For accounting and advisory firms in particular, private equity and other institutional investors can provide capital to support geographic expansion, acquisitions and investments in technology without changing the ownership requirements governing audit and attest work.
Before the transaction closes, HBK will adopt an alternative practice structure designed to preserve compliance with professional ownership rules.
Under that structure, Hill, Barth & King will continue providing audit and review services and will remain under CPA ownership.
HBK Advisory Group, meanwhile, will house the firm’s non-attest businesses, including tax, consulting, accounting and technology services.
That structure allows H.I.G. to invest in the non-attest operations while keeping audit and attest services under the ownership and control required by applicable professional standards.
The approach has become increasingly common across the accounting industry as firms seek outside capital while maintaining regulatory separation between attest and non-attest activities.
HBKS Wealth Advisors will continue providing wealth management services as part of HBK’s broader platform.
Vertilocity adds another dimension through technology advisory and managed services, giving HBK exposure to growing demand for cybersecurity, IT infrastructure, cloud and digital transformation support.
The combination of accounting, tax, advisory, wealth management and technology services gives HBK a diversified client offering that extends beyond traditional public accounting.
H.I.G.’s investment could help the firm deepen those capabilities while creating additional opportunities to cross-sell services across its client base.
The transaction also gives HBK greater financial flexibility to pursue acquisitions in a fragmented professional services market.
Accounting, wealth management and technology advisory firms remain highly fragmented, creating opportunities for larger platforms to add specialized practices, enter new geographic markets and increase scale through M&A.
HBK’s existing footprint across 27 offices provides a substantial base from which to pursue that type of expansion.
The firm’s presence in India also adds offshore and international operating capabilities that can support service delivery and future growth.
H.I.G. Capital brings experience investing across business services and other middle-market sectors, and its involvement could provide HBK with both capital and strategic resources as the firm scales.
The investment is structured as a growth partnership rather than a leadership transition, with HBK’s current partners remaining in place after closing.
That continuity may be particularly important in professional services, where client relationships and partner involvement are central to retention and business development.
For HBK, the transaction provides access to a larger capital base while preserving the firm’s existing leadership and professional structure.
For H.I.G., the investment provides exposure to a diversified advisory platform with recurring client relationships and multiple avenues for expansion across accounting, tax, wealth management and technology services.
William Blair advised H.I.G. on the transaction, while Houlihan Lokey served as financial advisor to HBK.
With the deal expected to close in the fourth quarter of 2026, HBK is positioning itself for a new phase of expansion with institutional backing while maintaining CPA ownership of its audit and attest practice.
KEY QUOTE:
“With H.I.G.’s resources and experience, we will invest further in our people, our technology, and our client service capabilities, expanding both what we can do for our clients and the opportunities we can create for our team.”
Tom Angelo, CEO Of HBK CPAs & Consultants
