Forensic Accounting Market by Offerings (Services, Software), Function (Anti-money Laundering (AML) Investigations, Bankruptcy & Insolvency, Corporate Investigations), End-Use, Deployment Model - Global Forecast 2024-2030

Forensic Accounting Market by Offerings (Services, Software), Function (Anti-money Laundering (AML) Investigations, Bankruptcy & Insolvency, Corporate Investigations), End-Use, Deployment Model - Global Forecast 2024-2030

The Forensic Accounting Market size was estimated at USD 5.95 billion in 2023 and expected to reach USD 6.45 billion in 2024, at a CAGR 9.28% to reach USD 11.07 billion by 2030.

Forensic accounting includes the practice of utilizing accounting, auditing, and investigative skills to conduct an investigation of the finances of an individual or business. It is a specialized field of accounting that aims to identify and prevent financial fraud and to assist in legal and financial matters. Forensic accountants are often required to serve as expert witnesses in court trials and legal disputes, presenting their findings in a manner understandable to the judges and jurors. The growing intricacy of financial transactions and regulatory environments is driving the usage of forensic accounting for navigating legal and financial disputes. Rising changes in legislation, such as the Sarbanes-Oxley Act in the U.S., have heightened the demand for forensic accountants to ensure compliance and prevent fraud. The rise of digital transactions and the increasing sophistication of cybercrime have expanded the scope of forensic accounting beyond traditional boundaries, incorporating elements of cybersecurity. As businesses expand internationally, the complexity of managing and auditing multinational financial activities fuels the need for forensic accounting expertise. A shortage of skilled professionals and complex legal systems and jurisdictional boundaries associated with forensic accounting solutions hampers the market's growth. Further, rising advancements and improvements in the development of forensic accounting solutions by market vendors are expected to create opportunities for market growth.

Regional Insights



In the Americas, the forensic accounting market has shown moderate growth, underpinned by resilient consumer spending and technological innovation. The United States, as a significant contributor, has seen a surge in forensic accounting activities owing to the enforcement of regulations, including the Dodd-Frank Act and Sarbanes-Oxley Act. The EMEA region presents a mixed picture, characterized by diverse economic conditions and varying degrees of market performance. Europe's market is progressively stabilizing, driven by stringent financial oversight by entities including the European Securities and Markets Authority (ESMA). The adoption of International Financial Reporting Standards (IFRS) has further harmonized accounting practices, fostering trust amongst investors. The Middle East and African markets, while still developing in terms of forensic accounting adoption, are beginning to realize its significance in combating financial fraud and enhancing market robustness. The APAC region has experienced rapid economic growth, making it a vibrant marketplace for forensic accounting companies. The introduction of stringent regulatory environments where forensic accounting is integral to market operations has contributed to the stability and attractiveness of the regional market.

Market Insights



Market Dynamics



The market dynamics represent an ever-changing landscape of the Forensic Accounting Market by providing actionable insights into factors, including supply and demand levels. Accounting for these factors helps design strategies, make investments, and formulate developments to capitalize on future opportunities. In addition, these factors assist in avoiding potential pitfalls related to political, geographical, technical, social, and economic conditions, highlighting consumer behaviors and influencing manufacturing costs and purchasing decisions.

Market Drivers


Growing complexity of the financial environment and rise in financial crimes
Stringent compliance requirements to maintain financial records

Market Restraints


High costs associated with forensic accounting services and softwares

Market Opportunities


Potential applications of AI and ML for fraud detection in forensic accounting
Increasing investment and funding activities for forensic accounting

Market Challenges


Challenges related to ensuring data privacy and security during forensic investigations

Market Segmentation Analysis


Offerings: High preferences for forensic accounting services for nuanced understanding and strategic approach
End-Use: Growing adoption of forensic accounting in Government & Public Sector to emphasize transparency and corruption detection

Market Disruption Analysis


Porter’s Five Forces Analysis
Value Chain & Critical Path Analysis
Pricing Analysis
Technology Analysis
Patent Analysis
Trade Analysis
Regulatory Framework Analysis

FPNV Positioning Matrix



The FPNV positioning matrix is essential in evaluating the market positioning of the vendors in the Forensic Accounting Market. This matrix offers a comprehensive assessment of vendors, examining critical metrics related to business strategy and product satisfaction. This in-depth assessment empowers users to make well-informed decisions aligned with their requirements. Based on the evaluation, the vendors are then categorized into four distinct quadrants representing varying levels of success, namely Forefront (F), Pathfinder (P), Niche (N), or Vital (V).

Market Share Analysis



The market share analysis is a comprehensive tool that provides an insightful and in-depth assessment of the current state of vendors in the Forensic Accounting Market. By meticulously comparing and analyzing vendor contributions, companies are offered a greater understanding of their performance and the challenges they face when competing for market share. These contributions include overall revenue, customer base, and other vital metrics. Additionally, this analysis provides valuable insights into the competitive nature of the sector, including factors such as accumulation, fragmentation dominance, and amalgamation traits observed over the base year period studied. With these illustrative details, vendors can make more informed decisions and devise effective strategies to gain a competitive edge in the market.

Recent Developments




Automated Forensic Accounting Startup Valid8 Financial Closes on USD 8.5M Funding Round

Valid8 Financial Inc., a financial intelligence startup, has secured USD 8.5 million in Series A funding, with Silvertone Partners leading the investment round. This funding influx is expected to expedite the advancement of Valid8's innovative automated forensic accounting platform, tailor-made for accounting and law firms.


Stout Acquires Torrey Partners, Deepening Bench of Expert Consultants and Testifiers

Stout has acquired Torrey Partners, a firm specializing in economics, forensic accounting, and valuation services based in San Diego, CA. This acquisition is poised to enhance Torrey’s service offerings significantly and support the continued growth of their practice areas.


Davies Launches Forensic Accounting Service

Davies, a professional services and technology firm specializing in the insurance and regulated markets, has introduced its new forensic accounting service. Poised to revolutionize the claims processing landscape, this new service is expected to seamlessly integrate with Davies' existing loss adjusting and claims third-party-administration (TPA) teams, offering expertise in business interruption, cyber, and major & complex loss cases.

Strategy Analysis & Recommendation



The strategic analysis is essential for organizations seeking a solid foothold in the global marketplace. Companies are better positioned to make informed decisions that align with their long-term aspirations by thoroughly evaluating their current standing in the Forensic Accounting Market. This critical assessment involves a thorough analysis of the organization’s resources, capabilities, and overall performance to identify its core strengths and areas for improvement.

Key Company Profiles



The report delves into recent significant developments in the Forensic Accounting Market, highlighting leading vendors and their innovative profiles. These include AlixPartners, LLP, Alvarez & Marsal Holdings, LLC, Ankura Consulting Group, LLC, Baker Tilly Virchow Krause, LLP, BDO International Limited, Berkeley Research Group, LLC, CohnReznick LLP, Crowe LLP, Duff & Phelps, LLC, Eide Bailly LLP, EisnerAmper LLP, FTI Consulting, Inc., Grant Thornton International Ltd, Kroll, LLC, Marcum LLP, Navigant Consulting, Inc., PricewaterhouseCoopers LLP, Protiviti Inc., RSM International Limited, StoneTurn Group LLP, and Stout Risius Ross, LLC.

Market Segmentation & Coverage



This research report categorizes the Forensic Accounting Market to forecast the revenues and analyze trends in each of the following sub-markets:

Offerings
Services
Software
Case Management Tools
Data Analysis Tools
Visualization Tools
Function
Anti-money Laundering (AML) Investigations
Bankruptcy & Insolvency
Corporate Investigations
Financial Statement Analysis
Insurance Claims
Litigation Support
Matrimonial Disputes
End-Use
BFSI
Government & Public Sector
Deployment Model
Cloud
On-Premise
Region
Americas
Argentina
Brazil
Canada
Mexico
United States
California
Florida
Illinois
New York
Ohio
Pennsylvania
Texas
Asia-Pacific
Australia
China
India
Indonesia
Japan
Malaysia
Philippines
Singapore
South Korea
Taiwan
Thailand
Vietnam
Europe, Middle East & Africa
Denmark
Egypt
Finland
France
Germany
Israel
Italy
Netherlands
Nigeria
Norway
Poland
Qatar
Russia
Saudi Arabia
South Africa
Spain
Sweden
Switzerland
Turkey
United Arab Emirates
United Kingdom

Please Note: PDF & Excel + Online Access - 1 Year