what’s your firm worth? private equity wants to know

businessman holding box with money flying out of it

the m&a picture has changed.

by 卡塔尔世界杯常规比赛时间 research
rosenberg survey

you probably thought you’d never hear these three words together, but here they are: accounting is hot.

this isn’t to say that cpa practices have six-pack abs and saucy haircuts. they don’t. but as far as markets go, accounting firms are hot items for investors looking to snatch up profitable organizations.

more: the new pipeline: outsourcing and offshoring | is this the last year of accounting’s golden age?
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the attraction is the consequence of two years of double-digit growth – the golden age of the accounting industry. revenues jumped in 2022, and then they jumped again in 2023. and 2024 ain’t looking too bad, either.

according to the 2024 rosenberg national survey of cpa firm statistics – the 26th edition of the gold standard analysis of the industry – fee growth in 2023, excluding mergers, ranged from 3.2 percent for firms billing under $2 million, to 11.4 percent for firms with over $20 million in billings.
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are you earning what you deserve?

young woman seated at laptop counting money

plus some predictions about where the job market is headed.

by 卡塔尔世界杯常规比赛时间 research

here’s a statistic you can probably sympathize with. according to new salary data, 99 percent of finance professionals report experiencing some level of burnout in the past year.

research: partners: your middle managers are getting burnout

more: the slow, painful death of the 150-hour rule | partner comp earnings gap: what’s the right spread? | main street accountants see turbulence ahead for small business | partners: your middle managers are getting squeezed | gear up for growth |
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unless you’re in that other 1 percent, you know how it feels. and who could blame you for feeling that feeling and then looking at your paycheck?

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the new pipeline: outsourcing and offshoring

businessman's hand pointing to icons, one of which is labeled "outsourcing"

firms still are working out their options and business models.

by 卡塔尔世界杯常规比赛时间 research

the 2024 rosenberg national survey of cpa firm statistics has found something that everybody knew. it has also found that there’s more of it than anybody knew.

and that there’s more coming.

more: is this the last year of accounting’s golden age?
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this swelling tsunami sweeping over the accounting industry is the use of outsourced staff, outsourced tax returns, and the ultimate in remote work, offshoring assignments and functions to foreign lands.
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is the irs adequately tracking corporate tax evasion?

the inspector general smells something fishy.

by 卡塔尔世界杯常规比赛时间 research

believe it not, there are large american corporations that establish a pseudo-presence in other countries for the sole purpose of evading taxes.

and that’s not the only trick in the corporate books.

more: irs still unsure how to measure audit rate | art werner: estate planning strategies | quick tax tip | art werner: post-mortem estate planning | quick tax tip | pause to praise the tax pro volunteers | irs vs. fraudsters | imagine! the national tax advocate does | art werner: maximizing fringe benefits | is the irs mismeasuring phone service? | eight steps to getting started with ai: a guide for tax professionals
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granted, sometimes those tricks are legitimate tax tactics. the tax code has loopholes, and that’s what they’re for.

needless to say, corporate tax strategy can get pretty complicated. there is an entire industry of lawyers, accountants and wealth management professionals dedicated to walking the fine line between evasion and due diligence in the interest of shareholders.
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the slow, painful death of the 150-hour rule

ending a 50-year mandate, now “competency” counts (again).

by rick telberg
卡塔尔世界杯常规比赛时间 research

after a quarter century of campaigning to get the 150-hour rule passed by all 50 states, overcoming opposition that seemed at one time as if it would rend the profession’s institutions, and after another quarter century of finding that the rule was failing by all critical measures, the aicpa and nasba are rolling out a workaround that could kill the rule.

more 150-hour rule  | download the exposure draft

the organizations are offering a “competency-based” hurdle for cpa licensure that signals abject surrender.

this is the story, 50 years in the making, of (mostly) good intentions gone bad, unintended (but not unforeseen) consequences, and how rank-and-file cpas (eventually) overcame the power plays of multinational firms. read more →

is this the last year of accounting’s golden age?

hourglass breaking, sand blowing away

the authors of the rosenberg map survey have some thoughts.

by 卡塔尔世界杯常规比赛时间 research
rosenberg survey of cpa firm statistics

one thing cpa firms can’t gripe about is revenue. yeah, the hours seem to be getting longer, the struggle harder, the rules more complex, and the technology continuously antiquated. but the money: it’s good.

goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

 

the 2024 rosenberg survey of cpa firm statistics—the 26th annual edition of the premier report on the state of the industry—confirms that in 2023, virtually all indicators of cpa firms’ health were good. and, generally speaking, the bigger the firm, the better they’re doing.
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ten client service issues for estate planning | listicle

schedule an appointment now.

by 卡塔尔世界杯常规比赛时间 research

as successful business people, cpa partners can have complex legacies to leave behind.

more listicles here

if you aren’t an estate planner (and why aren’t you?), you need to find one, ask the right questions and get adequate answers.

here are some of the issues clients should discuss, followed by “how do i do it?” read more →

main street accountants see turbulence ahead for small business

the avalara accountants confidence report points to difficulties.

via avalara

nearly 50 percent of accountants surveyed believe the outlook for over 80,000 small business clients they represent will turn sour over the next 1avalara (prnewsfoto/avalara, inc.)2 to 18 months, according to a new 卡塔尔世界杯常规比赛时间 study conducted with avalara, the sales tax automation provider.

full report: download (pdf)

fielded during the 2024 tax season, the survey shows accounting professionals flashing warning signs around key business issues, leading with clients’ abilities to hire and retain employees, manage costs and price increases, and keep up with technology changes ushered in by artificial intelligence. read more →

irs still unsure how to measure audit rate

data table

differing definitions are only part of the problem.

by 卡塔尔世界杯常规比赛时间 research

the inflation reduction act endowed the irs with almost $80 billion to improve customer service and beef up enforcement. congress later reduced the amount to $57.8 billion, with $24 billion earmarked for enforcement.

in no time at all, there was misinformation bouncing around social media and conservative podcasts, claiming that the ira would result in more audits of middle-class taxpayers.

more: art werner: estate planning strategies | quick tax tip | art werner: post-mortem estate planning | quick tax tip | pause to praise the tax pro volunteers | irs vs. fraudsters | imagine! the national tax advocate does | art werner: maximizing fringe benefits | is the irs mismeasuring phone service? | irs makes big progress but … | business booming, but not as much as last year | busy season barometer offers clues for better business | tax practitioners say happy days are here … again | the irs is coming! get your clients into compliance
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

 

the enforcement resources had no such designation. to allay fears, in 2022 the secretary of the treasury directed the irs commissioner not to use any of the additional resources to increase the audit rate of small businesses or households earning below $400,000.
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ten great topics for your firm blog | listicle

by 卡塔尔世界杯常规比赛时间 research

creating engaging content for a cpa blog requires a mix of current tax news, evergreen accounting principles, practical advice and technology updates.

more listicles here

here are 10 topic ideas that can appeal to individuals and businesses, offering value through insight, guidance and the latest industry trends. read more →

risky business: the art and science of startup company valuation

balancing metal balls

proven methods for staying out of trouble and getting the numbers right for founders, investors and regulators.

by anthony venette

valuing startup companies accurately has long been a challenge for legal, financial and regulatory professionals because data is scarce and projections are inherently speculative. take the recent case of hyde park venture partners fund iii l.p. v. fairxchange llc. this case has garnered significant attention as the delaware court of chancery was tasked with determining the fair value of fairxchange, a nascent company with a business model focused on revolutionizing the securities exchange landscape.

more: non-accountants in accounting: a game-changer for the profession | allison schlegelmilch: leadership lessons from firm mergers | cas can play a critical role in clients’ vendor selection | artificial intelligence: it’s a matter of time | ai will steal your job. and that’s a good thing | allan koltin: how small firms can thrive against pe-powered competitors | the power of community in accounting | desperate cfos are outsourcing accounting functions | does firm culture still matter? | tax and accounting jobs and salaries show strength | tax law is driving practice development | olympics of outsourcing and offshoring for accountants
goprocpa.comexclusively for pro members. log in here or 2022世界杯足球排名 today.

 

valuing a startup is a nuanced exercise, often requiring a blend of creative thinking and rigorous financial analysis. unlike established businesses that have predictable cash flows and extensive financial histories, startups have uneven cash flow and minimal operating histories. so, their valuation is typically based on future potential rather than past performance. the lack of historical data forces both investors and courts to rely heavily on projections and assumptions, which can vary significantly based on the valuation method used. if you’re working with (or for) a fast-rising startup, you don’t want to be cavalier about the company’s valuation.
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