Opportunities Abound for CPAs in Valuation and Litigation Services
The current surge in M&A activity is expected to accelerate through 2007 as deal values soar. Now, with larger and more complex deals on the horizon, business valuation is more vital than ever. That means, right now, CPA’s with expertise in this area are in short supply. Executive recruiting firm, A.E. Feldman, says the number of fraud litigation jobs, forensic accounting jobs and opportunities in business valuation at top firms are growing as these disciplines expand at a startling rate. There has been robust growth in these areas, says A.E. Feldman’s Managing Director of Accounting Recruiting, “We can’t place qualified candidates fast enough”.
The current tidal wave of M&A activity is boosting demand for forensic accountants who specialize in business valuation. Transaction appraisals include mergers and acquisitions, leveraged buy-outs, IPOs and buy-sell agreements. Valuations also arise in connection with marital dissolution, bankruptcy and breach of contract. The American Institute of Certified Public Accountants (AICPA) reports that demand for valuation services has increased dramatically over the past two decades. The group estimates that more than 25,000 CPAs currently provide business valuation as well as forensic and litigation services. And that number is growing exponentially.
The field of forensic accounting is also booming. No business is completely immune from fraud on some level. And in the post-Sarbanes-Oxley world, businesses are demanding greater due diligence in their corporate transactions and accounting procedures. That’s where forensic accountants come in, often settling shareholder lawsuits or detecting corporate malfeasance, utilizing a combination of auditing and investigative skills.
Competency and credentials, however, are critically important in this field. According to A.E. Feldman, CPA’s looking for opportunities in business valuation and litigation services must add other relevant credentials including an ABV, JD, CBA or CFA. Many CPAs who specialize in forensic accounting also add CFE or certified fraud examiner to their list of qualifications. This designation has emerged as the “gold standard” in the area of fraud. These certifications not only open doors for qualified candidates, they also command higher salaries.
But the proper credentials are only part of the equation for job seekers. A.E. Feldman’s Managing Director of Accounting Recruiting adds that a slew of law firm contacts are essential for accountants in valuation and litigation services. Since this field involves non-recurring business, candidates must come armed with a large network of lawyers and established relationships with law firms.
