ID: MRFR/ICT/6911-HCR | February 2021 | Region: Global | 141 pages
Forensic Accounting Market Overview:
According to the latest research report, The Forensic Accounting Market size is projected to grow at a compound annual growth rate of CAGR of 8.2 percent during the forecast timeframe, reaching USD 8.85 billion in the year 2025. To perform and analyze the financial performance of the companies or persons, the forensic accounting market will make use of accountancy, audit, and investigation expertise. Accounting professionals are responsible for the analysis, interpretation, and summarization of complicated financial and commercial situations. Such accounting professionals may work for any government department, insurance business, financial firm, institution, or government accountancy firm, among other places of employment.
Forensic accountants assemble quantitative estimates, organize and gather information, and convey their conclusions in the form of a report and briefings to the appropriate authorities and witnesses. Forensic accountants produce reports, which are often presented in the form of slideshows with the assistance of visual aids; such findings are admissible evidence in a legal proceeding. Accounting professionals use a wide range of statistical techniques and software to assist them in their investigations. Before technology advance, distinct datasets were being used for collection and data management; even so, with technological innovation, various scientific tools have indeed been launched in the market, and all these tools now provide financial reporting investigators with comprehensive end-to-end investigative options. In furthermore, different methods of analysis and data mining technologies are used by different forensic accounting market detectives in elevated frauds and crimes, as well as other types of crimes.
This report contains all the information on the global Forensic Accounting Market analysis and its strengths. The report also contains the culmination of dynamics, segmentation, key players, regional analysis, and other important factors. And a detailed analysis of the global Forensic Accounting Market forecast for 2024 is also included in the report.
Covid 19 Analysis:
In contrast, the whims of the economic crisis caused by the COVID-19 breakout are that forensic accountants are confronted with extraordinary difficulties. A variety of factors, including social distance, court closures, and economic upheaval, all add to the extremely volatile forensic environment.
According to market analysts, the Global Forensic Accounting Market will expand at a rapid pace over the next five-year period. Forensic accounting is a branch of accounting that uses effective investigative skills to maintain track of complicated bank documents in order to resolve financial issues and cybercrime. Furthermore, internal audit contributes to the reduction of risks connected with contracts, thus driving the growth of the forensic accounting market worldwide.
Accounting professionals use a variety of statistical techniques and technology to assist in the investigative process. Previously, numerous spreadsheets were utilized for data gathering and administration; nevertheless, with advancements in technology, several forensic software programs have been brought into the industry; such tools provide accounting detectives with edge investigative solutions. Furthermore, different methods of analysis and data gathering solutions are utilized by different internal audit market investigators in the investigation of elevated fraud and offenses.
The researchers' use of publicly accessible tools is among the main issues that may limit the development of the forensic accounting industry.
The use of publicly accessible tools by researchers is among the most significant issues that may create challenges in the development of the forensic accounting industry in the future.
Cumulative Growth Analysis:
Companies in the Forensic Accounting business provide forensic experts with a comprehensive software package, tools, and services that are all interconnected. For example, Accessible Data provides a forensic toolset that assists in performing quicker queries and substantially increasing the pace at which analysis may be completed. ACL Services Ltd, in a similar manner, provides audit analysis and keylogging software that assists investigators in inspecting and controlling financial data, among other things. Financial organizations, insurance companies, and accountancy firms are among the end-users who have used such software in order to perform effective investigations. The forensic toolkit from AccessData was used to ensure that the investigative processes of Grant Thornton Forensic Services B.V., an international accounting, tax, and consulting company, were completed successfully.
Additionally, a number of additional investigators are effectively using a variety of technological services and analytics to investigate financial crime. The availability of free software tools results in a decrease in the need for commercial technology solutions. As a result, in order to stimulate the development of the forensic accounting market profit, suppliers participating in the market must provide cheap or cost-effective solutions.
Value Chain Analysis:
According to the reports, The global forensic accounting market has been categorized based on component, end-user, and geographic area, among other factors. The forensic accounting market has indeed been divided into two categories based on the component used: solutions and services. Solutions in this category comprise forensic tools/software, auditing/accounting software, and other related products and services. The services category comprises extra professional services provided by the solution providers in addition to the solutions themselves. Training, consultancy, and support services are some of the options available. During the year 2018, the solution category accounted for the biggest proportion of the total market, according to market research. Several heavily regulated sectors are using such solutions to perform investigation procedures more effectively, which is pushing the market forward.
The forensic accounting industry has been divided into many categories based just on end-user, including banking and insurance, law enforcement agencies, government, accounting companies, and others. It is anticipated that the accounting firms sector will develop at a compound annual growth rate (CAGR) of the greatest over the projection period of 2019–2025.
The market is segmented on the basis of components, end-user, and geographic. The global forensic accounting market trends are expected to witness decent growth during the forecast period.
Based on the application, the market is segmented into solutions and services. Solutions in this category comprise forensic tools/software, auditing/accounting software, and other related products and services. The services category comprises extra professional services provided by the solution providers in addition to the solutions themselves. Training, consultancy, and support services are some of the options available.
Based on the propulsion types, the market is segmented into banking and insurance, law enforcement agencies, government, accounting companies, and others.
According to the reports, Globally, the worldwide forensic accounting market is categorized into four regions: Asia-Pacific, North America, Europe, the Middle East, and Africa, and South America. According to the share of the market in the forensic accounting industry, North America is the most developed region in the world. Some of the reasons contributing to the market's expansion include the growing adoption of such software and tools by different government bodies and accountancy firms, among other things. Aside from that, the existence of many vendors in North America that provide complete solutions to businesses has resulted in North America capturing the largest share of the global IT services industry.
Currently, Europe is ranked second in the global marketplace. Europe has indeed been divided into the following groups: the United Kingdom, Germany, France, Spain, Italy, and the rest of Europe. Following the United Kingdom, Germany, and France, as per the MRFR study, the United Kingdom is projected to acquire the most market share. In the area, the increasing need for independent inquiry is one of the most important factors driving the market's expansion.
Companies prefer to introduce new technological advancements in order to remain competitive in a tough market, which ultimately results in improved protection against cyberattacks and violent criminals.
Cellebrite Mobile Synchronization Ltd, a supplier of digital intelligence solutions for police departments, administration, and enterprise sectors, announced in June 2019 that IGP Capital has reached a deal to acquire USD 110 million in the company.
|Market Size||USD 110 Million (2019)|
|Forecast Units||Value (USD Million)|
|Report Coverage||Revenue Forecast, Competitive Landscape, Growth Factors, and Trends|
|Segments Covered||By Component|
|Geographies Covered||North America, Europe, Asia-Pacific, and Rest of the World (RoW)|
|Key Vendors||Galvanize, CaseWare IDEA, Arbutus Software Inc., Fulcrum Management, Nuix, Cygna Labs Corp, e-fense, Passware, OpenText, Cellebrite, Sama Audit Systems & Software Pvt Ltd, and AccessData.|
|Key Market Opportunities||The growing need for effective investigation is the key factor driving the growth of the market in the region.|
|Key Market Drivers||
Frequently Asked Questions (FAQ) :
An 8.2% CAGR is projected to be witnessed in the market during the forecast period.
An augmented income level is estimated to power the market’s growth in the forecast period.
The availability of free software tools is expected to lead to a lesser demand for proprietary software solutions.
Arbutus Software Inc., Fulcrum Management, CaseWare IDEA, Nuix, e-fense, Passware, Cygna Labs Corp, OpenText, Cellebrite are the contenders in the market globally.
The need for tools that provide end-to-end investigative solutions is motivating the market.