Accounting Firm Mergers

An article on AccountingWEB says Sarbanes-Oxley is spurring a merger of accounting firms. The increasing workload is pushing smaller firms to merge as a way to bulk up their staffs, and thus their capabilities.

“Local and regional firms are getting more opportunities than they probably ever could have dreamed of. Big Four resources are stretched to the max, so smaller clients are either leaving the Big Four on their own or the Big Four are resigning engagement, because they don’t have the resources to serve them without charging higher prices. For the local firms picking this up, it’s right in their strike zone. We’re seeing it from coast to coast,” Jonathan Hamilton told AccountingWEB. Hamilton is the editor of the accounting newsletter Public Accounting Report.

You've seen this all before, but it's a good snapshot of a trend that keeps on going.

California Accounting Firms Merge [AccountingWEB]