According to a study, total sales of accounting firms in the United States in 2019 is expected to reach 120 billion dollars. The average annual growth in the 5 years leading into 2019 is estimated to be 4.8%. There are roughly 102,200 accounting firms (audit service companies) in the United States with an estimate of about 540,000 total employees. The global market is roughly $464 billion dollars and is said to be one of the industries with the highest profit ratio.
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Accounting firms are the only entity that has been approved to determine the credit level of financial reports created by clients (companies) from the perspective of a group of accounting specialists. In addition, since listed companies are legally obliged to disclose a financial report that has been audited by a third party, general business firms must request an audit by an accounting firm in order to observe this regulation. This is a reason why accounting firms describe their business activities as “assurance.”
Further, each service carries the objective of increasing the reliability of the client (general business), supporting the observance of laws, and aiding in minimizing tax expenditure. These lead to the protection of investors and accordingly contribute to securing the healthy functionality of the capital market, which is one of the foundations of a free capitalist society.