Quality of Earnings and CFO services for oilfield services companies
Oilfield earnings move with the rig count and the customer list. We normalize through the cycle, test customer concentration and pricing, and separate maintenance capex from growth.
Talk about a deal Talk about the businessReply within one business day · Fixed fee in writing · No obligation
Consolidation among producers reshapes service providers
- Producer mergers have shrunk the customer base, pushing service firms to cut prices, merge, or exit. Source
- The U.S. rig count stood at 603 in mid-October 2026, about 10% higher than a year earlier. Source
- Since October 1, 2026, SBA 7(a) acquisitions of $3 million or more need an independent Quality of Earnings, and lenders size the loan on its normalized earnings. The rule explained →
We work with lenders and buyers in Utah, Denver, Phoenix, Dallas-Fort Worth, Boise, Las Vegas, and nationwide.
Fleet utilizationRevenue per crewEBITDA margin through the cycleCustomer concentrationCapex to depreciationLeverage
One operator acquiring your biggest customer can change the business overnight. Buyers test for it.
What buyers and lenders test in a oilfield services QoE
Through-the-cycle earnings
Peak and trough periods normalized against activity levels.
Customer concentration
Revenue by operator, MSA terms, and the risk of losing a customer to consolidation.
Pricing and MSAs
Rate cards, discounts, and pricing changes across the trailing period.
Capex and equipment
Maintenance vs. growth capex and equipment condition.
Field tickets and cut-off
Unbilled field tickets and revenue recorded in the right period.
Payroll and per diem
Crew pay, overtime, and per diem normalized.
Oilfield services QoE: what's included
- Through-the-cycle normalization
- Customer and MSA review
- Field ticket and unbilled revenue testing
- Maintenance vs. growth capex
- Vehicle and equipment schedule review
Oilfield services add-ons
| Each additional legal entity | $2,500 |
| Inventory testing (counts, costing, reserves) | $5,000 |
Fees by deal size
| Purchase price / EV | QoE fee |
|---|---|
| Under $3M | $11,500 (sell-side $9,000) |
| $3M to $4M | $12,500 |
| $4M to $5M | $14,500 |
| $5M to $10M | $19,500 |
| $10M to $15M | from $26,500 |
| Lower middle market & PE add-ons | typically $25,000 to $70,000 |
Larger deals are quoted from revenue, entities, inventory, and report format. Pre-LOI earnings screen $1,950. All fees →
Before an LOI, run the seller's numbers through our free add-back sanity check. Terms like SDE, cash proof, and DSCR are explained in the QoE glossary.
Where oilfield services owners lose money
- Field tickets that take weeks to become invoices
- No profitability by crew, rig, or piece of equipment
- Working capital swings with every operator payment cycle
- Capex decisions made without a forecast
Priced for your industry
Volatile businesses need a cash forecast and equipment-level profitability most.
Start with a $2,500 finance diagnostic, credited to your first month. Interim CFO or controller coverage is also available, part time from $10,500/mo or full time.
Books & close
- Monthly bookkeeping and reconciliations
- Accrual close by business day 10
- Monthly financial package
- Quarterly review call
Controller
- Everything in Books & close
- KPI dashboard for your industry
- Payroll, AP, and sales tax oversight
- Quarterly 13-week cash forecast
- Monthly review call
CFO
- Everything in Controller
- Field ticket to invoice process
- Crew and equipment profitability
- 13-week cash forecast
- Lender and covenant reporting
- Monthly CFO meeting
Fixed monthly fees, month to month after three months. Day-to-day bookkeeping may be done by trained staff working to our checklists, always with CPA review and sign-off by Edwin van Stam. Talk about the right package →
Oilfield services engagements Edwin has led
- Buy-side QoE for a private equity investor acquiring an oilfield casing services company
Includes engagements Edwin performed with prior and affiliated firms. Client names are confidential.
Oilfield services questions
Does an SBA loan for this kind of acquisition need a QoE?
Under SBA SOP 50 10 8.1, a 7(a) change-of-ownership loan with a business purchase price of $3 million or more needs a Quality of Earnings, and the lender sizes the loan on the QoE's normalized earnings. Below $3 million many lenders still ask for one. Check your deal →
How do you normalize earnings in a cyclical business?
We compare results to activity levels such as rig counts and utilization, and show buyers which earnings depend on peak conditions.
What drives value in oilfield services deals?
Diversified customers, production-phase work that's less cyclical, well-maintained equipment, and documented pricing.
Buying, selling, or running an oilfield services company?
Buying, financing, or selling? Start with a QoE conversation. Running the business? Start with a finance diagnostic.