Financial Accounting Advisory Services Market Size was estimated at 27.98 (USD Billion) in 2022. The Financial Accounting Advisory Services Market Industry is expected to grow from 29.49(USD Billion) in 2023 to 47.42 (USD Billion) by 2032. The Financial Accounting Advisory Services Market CAGR (growth rate) is expected to be around 5.42% during the forecast period (2024 - 2032).
The Increasing complexity of financial regulations, globalization of business, technological advancements, and heightened scrutiny from investors and regulators are prime drivers of the global market for financial accounting advisory services. Additionally, organizations seeking improved financial reporting, risk management, and compliance are further bolstering demand.
Emerging opportunities include the adoption of cloud-based accounting solutions, the rise of data analytics for financial decision-making, and the need for specialized advisory services in areas such as international financial reporting standards (IFRS) and sustainability reporting. The market is also witnessing a shift towards managed services and outsourcing as companies seek cost-effective and efficient ways to manage their financial operations.
Recent trends in the market include the increasing adoption of artificial intelligence (AI) and machine learning for automation and data analysis, as well as the convergence of financial accounting advisory services with other business advisory services to provide integrated solutions. Furthermore, the growing importance of environmental, social, and governance (ESG) reporting is creating new opportunities for advisory services in this area.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The financial regulations are becoming more complex and the number of businesses that require managing their financial risks has increased. As a result, businesses may more often ask financial advisors to assist them with the required services and proper regulation. At the same time, businesses in emerging markets are in the situation of an increasing demand for financial advisory services as new challenges and opportunities for organizations appear.In such a way, the demand for the discussed services will continue to grow in the future as well. On the one hand, businesses become more aware of possible risks and threats associated with new financial regulations and specific requirements. On the other hand, businesses in emerging markets and other countries require more information about their opportunities and ways to integrate into the existing financial system. Overall, the discussed trends ensure the growth of the Financial Accounting Advisory Services Market.
Technological advancements are also playing a major role in driving the growth of the Financial Accounting Advisory Services Market Industry. The use of artificial intelligence (AI), machine learning (ML), and other advanced technologies is enabling financial advisors to provide more efficient and effective services to their clients. These technologies are helping financial advisors to automate tasks, improve data analysis, and gain insights into financial markets and trends.The use of technology is also making it easier for financial advisors to collaborate with other professionals and share information, which is leading to better decision-making and improved client outcomes.
The increasing focus on corporate governance is also driving the growth of the Financial Accounting Advisory Services Market Industry. Regulators around the world are implementing stricter corporate governance regulations, which require businesses to improve their financial reporting and disclosure practices. This has led to an increased demand for financial advisory services as businesses seek assistance in complying with these regulations.The focus on corporate governance is expected to continue to grow in the coming years, which will provide further impetus to the growth of the financial advisory services market.
The Financial Accounting Advisory Services Market is segmented by Service Type into Accounting advisory, Financial advisory, Tax advisory, and Auditing. Among these segments, Accounting advisory is anticipated to acquire the most significant market share in 2023, with a valuation of 10.23 (USD Billion). The rise in demand for assistance with intricate accounting regulations and standards like the International Financial Reporting Standards (IFRS) is responsible for the dominance of the sector. The financial advisory segment is anticipated to earn a CAGR of 5.9% during the projected period as more businesses start seeking advice on mergers and acquisitions, raising capital, and risk management.
Tax advisory services, which support businesses in negotiating tax laws and regulations, are anticipated to expand at a steady rate, with a CAGR of 5.5% during the forecast period. Another factor segment in the Financial Accounting Advisory Services Market is auditing, which means analyzing and confirming financial statements. The Auditing segment is projected to earn a CAGR of 5.2% during the forecast duration because of the rising regulatory compliance for the transparency and accuracy of financial reports.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
The Financial Accounting Advisory Services Market is segmented by Business Size into SMEs and Large Enterprises. In 2023, SMEs were the largest market share holding segment among these two, with 65.2% of the Financial Accounting Advisory Services Market revenue. This is due to the increased requirement by SMEs for financial advisory services for improved financial management, and operational optimization and to be in adherence with regulatory compliances. However, during the forecast period, Large Enterprises are expected to have a higher CAGR of 6.1% as they focus more on strategic financial planning, risk management, and improving operational efficiency.
The Industry Vertical segment plays a crucial role in the Financial Accounting Advisory Services Market, with diverse industries driving demand for these services. Among the key industry verticals, Banking and Financial Services remains a dominant segment, accounting for a significant portion of the market revenue in 2023 and is projected to maintain its leadership position in the coming years. The Healthcare industry is another major contributor to the market, driven by the increasing complexity of healthcare regulations and the need for specialized accounting and advisory services.Technology, Retail, and Manufacturing are other notable industry verticals that contribute to the growth of the Financial Accounting Advisory Services Market. Each industry presents unique challenges and opportunities for financial accounting advisory service providers, shaping the market dynamics and driving innovation in service offerings.
The Financial Accounting Advisory Services Market is segmented into North America, Europe, APAC, South America, and MEA. North America is the largest region, accounting for over 35% of the global market in 2023. The region is home to some of the world's largest financial institutions, which require comprehensive financial accounting advisory services to navigate complex regulatory landscapes and meet reporting requirements. Europe is the second-largest region, with a market share of over 30% in 2023. The region has a well-developed financial sector and is characterized by stringent accounting and auditing regulations.APAC is the fastest-growing region, with a CAGR of over 6% expected over the next five years. The region is driven by the growth of emerging economies and the increasing adoption of international accounting standards. South America and MEA are relatively smaller markets, but they are expected to witness steady growth in the coming years.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Financial Accounting Advisory Services Market major players are expanding their presence by various means and accelerating the industry growth by heavily investing in research and development. The Financial Accounting Advisory Services Market development is characterized by the emergence of new technologies and developments in cloud computing and data analytics.
For instance, in 2019, leading market players in the Financial Accounting Advisory Services Market announced plans to partner with each other to expand the delivery of their services. Due to competition, Financial Accounting Advisory Services Market companies are trying to strengthen their position and expand their service offering by forming partnerships and strategic alliances. The leading company on the market, Deloitte, offers a wide range of financial accounting advisory services catering to any business size. The company offers services such as accounting and financial reporting, financial due diligence and fraud investigation, internal audit, risk management and financial management, and corporate treasury.
Having the reputation of providing high-quality advice and expertise on complex accounting and regulatory issues, Deloitte has a successful track record of helping their clients meet their financial goals. The reputation of industry leaders and company success can be explained by their continual investment in research and development, focus on innovation and the client as their priority.The highest market players in the Financial Accounting Advisory Services Market are followed by PwC.
The company also provides a variety of services related to financial accounting, for instance, financial due diligence, transaction advisory and risk management. PwC is renowned for its global presence and has deep industry knowledge and understanding of the regulatory landscape. PwC professionals are experienced and committed to providing high-level quality services to their clients. The reason why the company remains a market leader is its commitment to innovation, thought leadership and delivery of best-in-class services.
EY
McKinsey Company
PwC
FTI Consulting
AlixPartners
Charles River Associates
Bain Company
Deloitte
Huron Consulting Group
Alvarez Marsal
Boston Consulting Group
KPMG
Accenture
Oliver Wyman
FTI Consulting
Recent news and current affairs in the Financial Accounting Advisory Services Market highlight the growing adoption of cloud-based accounting solutions, increasing demand for data analytics and risk management services, and the impact of regulatory changes on the market. Key developments include:
Expansion and Investment: Major players in the market are expanding their global presence and investing in new technologies to meet increasing demand for financial accounting advisory services. For instance, in 2023, Deloitte announced the acquisition of a leading financial advisory firm in the Asia-Pacific region, strengthening its position in the market.Digitalization and Cloud Adoption: The adoption of cloud-based accounting solutions is transforming the market, enabling businesses to access real-time financial data and insights. Cloud-based platforms offer scalability, cost-effectiveness, and enhanced collaboration, driving growth in the market.Increased Demand for Data Analytics: The growing volume and complexity of financial data are increasing the demand for data analytics services. Financial accounting advisory firms are leveraging data analytics to help businesses identify trends, improve decision-making, and mitigate risks.Regulatory Changes: Regulatory changes, such as the implementation of new accounting standards and data privacy regulations, are impacting the market. Firms are adapting their services to meet the evolving regulatory landscape and assist clients in adhering to compliance requirements.
Accounting advisory
Financial advisory
Tax advisory
Auditing
SMEs
Large Enterprises
Banking and Financial Services
Healthcare
Technology
Retail
Manufacturing
North America
Europe
South America
Asia Pacific
Middle East and Africa
| Report Attribute/Metric | Details |
| Market Size 2022 | 27.98(USD Billion) |
| Market Size 2023 | 29.49(USD Billion) |
| Market Size 2032 | 47.42(USD Billion) |
| Compound Annual Growth Rate (CAGR) | 5.42% (2024 - 2032) |
| Report Coverage | Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year | 2023 |
| Market Forecast Period | 2024 - 2032 |
| Historical Data | 2019 - 2023 |
| Market Forecast Units | USD Billion |
| Key Companies Profiled | EY, McKinsey Company, PwC, FTI Consulting, AlixPartners, Charles River Associates, Bain Company, Deloitte, Huron Consulting Group, Alvarez Marsal, Boston Consulting Group, KPMG, Accenture, Oliver Wyman, FTI Consulting |
| Segments Covered | Service Type, Business Size, Industry Vertical, Regional |
| Key Market Opportunities | IFRS adoptionDigital transformationRegulatory complianceMergers and acquisitionsData Analytics |
| Key Market Dynamics | Digital transformationIncreased regulatory complexityGrowing need for data analyticsEmergence of blockchain technologyFocus on ESG reporting. |
| Countries Covered | North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Financial Accounting Advisory Services Market is expected to reach a valuation of 29.49 Billion USD in 2023.
The Financial Accounting Advisory Services Market is projected to grow at a CAGR of 5.42% from 2024 to 2032.
North America is expected to hold the largest market share in the Financial Accounting Advisory Services Market in 2023.
Key growth drivers of the Financial Accounting Advisory Services Market include increasing demand for financial advisory services, growing need for compliance and risk management, and technological advancements.
Major competitors in the Financial Accounting Advisory Services Market include Deloitte, PwC, EY, KPMG, and Grant Thornton.
The Financial Accounting Advisory Services Market is expected to reach a valuation of 47.42 Billion USD by 2032.
Key applications of Financial Accounting Advisory Services include financial due diligence, merger and acquisition advisory, and risk management.
Challenges faced by the Financial Accounting Advisory Services Market include regulatory changes, competition from technology companies, and economic uncertainty.
The COVID-19 pandemic had a significant impact on the Financial Accounting Advisory Services Market, leading to a decline in demand for financial advisory services.
Emerging trends in the Financial Accounting Advisory Services Market include the adoption of digital technologies, increasing demand for ESG advisory services, and the rise of remote working.
Team Lead - Research she holds an experience of about 6+ years in market research and business consulting, working under the spectrum of information communication technology, telecommunications and semiconductor domains. aarti conceptualizes and implements a scalable business strategy and provides strategic leadership to the clients. her expertise lies in market estimation, competitive intelligence, pipeline analysis, customer assessment, etc.
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