Latest Insights: What Can Your Firm Learn from Industry Trends
What the IPA Insights Report Tells Us About the Future of Accounting
Change has always been constant in the accounting profession—but in the past few years, it’s been more like a sprint. From technology developments and talent shifts to private equity and record-breaking mergers, firms of all sizes are navigating a rapidly evolving landscape. That’s where the IPA Insights comes in. It’s not just a snapshot of data—it’s a strategic tool for leaders who want to understand what’s driving growth, innovation and profitability.
In this post, we’ll walk through the major themes uncovered in the latest IPA Insights report, offering takeaways that firm leaders can use to benchmark their progress and shape smarter strategies moving forward.
Organic Growth vs. Mergers: What’s Driving Expansion Today?
Here’s the headline: organic growth is still leading the charge, hitting 10.6% in 2023 and 10.1% of 2024. That’s impressive, especially considering the headwinds firms are facing.
Mergers continue to play a big role – especially for firms with more than $75 million in revenue – but they’re not the whole story. Most firms are still focused on growing from within, while the largest firms are using M&A to scale quickly and enter new markets.
Takeaway: Organic growth is alive and well, but M&A is the go-to accelerator for firms with the resources to deploy it.
Legacy vs. Emerging Firms: Who’s Winning?
The majority of IPA 100 and 200 firms were founded before 1995, and start-ups are becoming increasingly rare. But that doesn’t mean the game is only for the legacy players.
Younger, private equity-backed firms are starting to make waves, bringing agility, innovation and bold business models that challenge the status quo. They’re not bound by tradition – and that’s giving them an edge.
Takeaway: Longevity has its perks, but adaptability might be even more valuable in today’s market.
Leadership Shifts: Partner Ages Are Dropping
For decades, the profession has been watching leadership get older. That trend has finally started to reverse. In 2024, the average partner age dropped to 52, and larger firms are leading the charge in succession planning and leadership development.
Younger leaders are stepping up with fresh perspectives – and many firms are reaping the benefits.
Takeaway: The next generation is ready. Is your firm preparing them?
Revenue Growth vs. Inflation: The Hidden Challenge
On paper, revenues are up. But when adjusted for inflation, real revenue per FTE has remained flat. That’s a warning sign.
To stay ahead, firms can’t rely on traditional growth levers alone. Innovation, pricing strategy and productivity improvements are more important than ever.
Takeaway: Inflation is eroding margins. The firms that thrive will be the ones that respond proactively – not reactively.
Turning Insight into Action
The accounting profession is undergoing a major transformation – and the data from the IPA Insights report makes that clear. Whether it’s leadership succession, technology adoption or new revenue models, the key trends shaping the profession aren’t just interesting – they’re actionable.
Now is the time to benchmark, plan and embrace the change. Use the insights and tools available through IPA to guide your next steps and lead with confidence.
Ready to go deeper? Explore the full IPA Insights report and equip your firm with the data it needs to move forward with clarity and purpose.