H&R Block to Acquire Buffalo CPA Firm

By Danielle D'Angelo

Buffalo-based CPA firm Freed Maxick Sachs & Murphy PC (FMSM), the largest local accounting firm in western New York, has reached an agreement in principle to merge with HRB Business Services, a subsidiary of H&R Block.

HRB Business Services will acquire substantially all of the nonattest assets of FMSM and Freed Maxick ABL Services LLC, an asset-based lending services firm.

"The additional resources of a national practice will enable us to offer specialized services to our clients, and will also increase our market potential and facilitate our firm's expansion," said Robert M. Glaser, managing director of FMSM.

Founded in 1958, FMSM has 14 partners and 141 full-time employees; it ranks 78 in Public Accounting Report's list of the top 100 firms in the United States. The firm, which will continue to operate under its current name, serves primarily middle market businesses specializing in construction, health care, real estate, manufacturing, and distribution industries.

H&R Block joins other publicly-held companies such as American Express Tax and Business Services and Century Business Services that have moved recently to acquire CPA firms.

"FMSM will be the fourth acquisition for H&R Block and represents not only our desire to quickly build a national network of accounting and consulting practices, but also to acquire prominent firms that are highly regarded in their markets," said Frank L. Salizzoni, president and chief executive officer of H&R Block.