The public accounting market - France (2025)

1.2 The global accounting services market

The profession of chartered accountant is governed by standards specific to each country (***) in Canada. At the very least, you need to be familiar with the legislation in force in the country where you will be practicing.

Despite the development of IFRS, the profession of chartered accountant is still relatively compartmentalized by borders, and the majority of chartered accountancy firms will have clients based in their own country.

The global accounting services sector continues to grow steadily, rising from $***.** billion in **** to $***.** billion in ****, with a compound annual growth rate of *.*%. The market is expected to continue growing over the next few years, increasing at a CAGR of *.*% to reach $***.** billion in ****.

Sales trends in the accounting services market

1.3 A growing French market

NAF code **.**z covers companies engaged in accounting activities. These activities come under the heading of chartered accountancy and are carried out by chartered accountancy firms. This NAF code includes the following activities :

recording commercial transactions for companies or others ; drawing up or auditing financial accounts; examining accounts and certifying their accuracy; preparation of tax returns for individuals and companies; advice and representation (***), on behalf of clients, before the tax authorities.

The latter are covered by the monopoly of chartered accountants on all activities relating to the audit and appraisal of company accounts, as provided for by the Ordre des Experts-Comptables. [***] In France, it is therefore impossible to become an independent accountant without being a chartered accountant. However, some companies, such as the Big * firms registered under this NAF code, also carry out peripheral assignments, such as consultancy or advisory services.however, some companies, such as the Big * firms registered under this NAF code, also carry out peripheral services such as consulting and asset management, which do not fall within the scope of chartered accountancy (***). The sales figure obtained is therefore slightly higher than the reality of the sector.

With sales of **.** billion euros in ****, we deduce, with the help of ...

1.4 The upheaval brought about by the PACTE Act

The Pacte Act of May **, **** has led to upheaval in the chartered accountancy sector, and more specifically in statutory auditing activities in France, due to increases in audit thresholds. Prior to this law, compulsory audit thresholds in France were much lower than in the rest of Europe. SARLs that exceeded two of the following three thresholds were required to undergo a statutory audit:[***]

* million euros balance sheet ; * million euros in sales; ** employees.

For SARLs and other legal entities (***), the thresholds were as follows:

if balance sheet total exceeded *.** million euros ; if sales exceeded *.* million euros (***); For companies with more than ** employees.

However, the Loi Pacte raised the aforementioned thresholds, which induces a loss of sales for chartered accountants. Indeed, many companies are no longer obliged to appoint a statutory auditor and will therefore no longer call on their services. Companies exceeding two of the following three thresholds must now appoint a statutory auditor:[***]

A balance sheet of * million euros; Sales of * million euros; More than ** employees.

The PACTE law does, however, present some beneficial developments for chartered accountants, with, in particular, a broadening of their scope of action. They can now:

Carry out environmental (***), financial or digital work, provided this ...

2.1 The main clients of chartered accountants

Chartered accountants' main clients are associations and businesses. According to the Ordre des experts-comptables, **% of companies and **% of associations will use a chartered accountant in ****.

Rate of recourse to a chartered accountant by structure size France, ****, in percent Source: ****

Companies with between * and ** employees are the most likely to use a chartered accountant. The size of their structure does not allow them to have an accounting department, and they have to call on an outside player for bookkeeping and other services. **% of companies with between ** and ** employees use a professional accountant, compared with **% of those with between ** and *** employees. The internal resources of these companies enable them to do without the help of an independent firm. They must, however, comply with the obligation to appoint a statutory auditor in accordance with the applicable thresholds.

Among associations, those with over ** employees are the most likely to use a professional accountant (***).

Private individuals can also call on a chartered accountant for tax declarations, or for assistance at key periods such as inheritance. However, these clients represent a minority share of business, and few French households can afford these services.

2.2 Demand drivers

On the business side, the number of start-ups and failures is a key factor in the growth of the chartered accountancy business.

The number of businesses created in France rose significantly between **** and ****. Total creations, in thousands, rose from around ***.* in Q* **** to ****.* in Q* ****, representing continuous growth with a marked acceleration from **** onwards. Micro-entrepreneurs make up a dominant share of this trend, while the total excluding micro-entrepreneurs has seen a more moderate increase, rising from ***.* to ***.* over the same period.these business start-ups represent an opportunity for chartered accountants, who see these companies as potential new clients.

number of business start-ups France, ****-****, in '*** Source: ****

The number of business failures, on the other hand, which represent a loss of potential clients for chartered accountants, has been contracting sharply since ****. The number of failures per year fell from **,*** to **,*** before the arrival of Covid, a drop of **.*%.

In ****, the fall is phenomenal thanks to government aid and the freeze on legal proceedings for companies in difficulty during the pandemic. By ****, only **,*** companies had disappeared. By ****, this figure had fallen even further, to **,***. However, it's possible that government aid only succeeded in postponing the deadline for these companies. Indeed, from **** onwards, ...

2.3 Regulatory changes encourage the use of chartered accountants

Regulatory changes are creating a favorable environment for chartered accountants. Indeed, when laws and obligations change, companies are more likely to call on accounting professionals to support them.

For example, when the withholding tax was introduced, a large number of business owners turned to a chartered accountant to help them prepare their pay slips in the best possible conditions.

The graph below represents the proportion of searches for a given keyword in a given region and for a specific period, compared with the time when the rate of use of this keyword was highest (***). Thus, a value of ** means that the keyword was used less often in the region concerned, and a value of * means that data for this keyword is insufficient.

Search interest for the professional activity "Expert-comptable France, ****-****, in Google Trends index Source: ****

Demand for the services of a chartered accountant appears to have maintained remarkable stability over the past few years. Despite cyclical variations, fluctuations in demand generally remain moderate, regularly ranging between ** and **. Peak interest periods for the term "chartered accountant" are observed in January, while engagement levels reach their lowest points in June. These trends appear to be closely linked to the current tax deadlines ...

2.4 Reasons for calling in a chartered accountant

The main reasons for using the services of a chartered accountant are to certify accounts (***). In contrast, only **% of those surveyed use a chartered accountant for business start-ups, and entrepreneurs are not the majority of firms' clients.

**% of those surveyed also use a firm to help manage administrative complexity.

Main reasons for using a chartered accountant France, ****, in percent Source: ****

While the reasons for calling in a chartered accountant may be occasional, the relationship is generally long-term. For example, **% of companies have had the same chartered accountant for at least * years, a figure that rises to **% for associations.

Length of relationship between customers and their chartered accountant France, ****, in percent Source: ****

3.1 Value chain

Every year, the accounting profession publishes a ranking of public accounting and statutory audit firms. This ranking only takes into account firms registered with the Ordre des experts-comptables (***) and the Compagnie nationale des commissaires aux comptes.

The top * operators in France in terms of sales are KPMG, EY, Cerfrance, PwC and Fiducial. The former will achieve sales of *.** billion euros in the ****/**** financial year in these regulated activities, the same for EY and *** million euros for Cerfrance. Therewas a drastic drop in sales for Deloitte, due to the sale of In Extenso in ****.

These ** players therefore total sales of * billion, and the vast majority of the sector's revenues are therefore generated by smaller firms.

There are different categories of players in the profession:

Large firms such as KPMG, Deloitte, EY, PwC, Mazars and Fiducial, which do not limit themselves to public accounting and offer consulting services, for example; Groups of independent firms whose strength lies in the pooling of resources, such as ATH, France Défi, Eurus, Fidunion or Walter France. These groupings can be networked (***).[***] Associative networks such as Cerfrance, which federate numerous entities in all départements in order to cover the entire country. Independent firms.

Trends and forecasts ...

3.2 The French accounting industry

According to the Conseil Supérieur de l'Ordre des Experts-Comptables, between**** and ****, the number of chartered accountants and accounting firms in France has grown significantly. The number of chartered accountants rose from **,*** in **** to **,*** in ****, marking an increase of **%. The number of public accounting firms has risen even more sharply, from **,*** in **** to **,*** in ****, an increase of **%. This dynamic reflects steady growth in the accounting profession, driven by increased demand for financial and management services.

Growth in the number of chartered accountants France, ****-**** Source: ****

Change in number of accounting firms France, ****-**** Source: ****

More than half of the profession concentrated in the Île-de-France, Auvergne-Rhône-Alpes and Provence-Alpes-Côte d'Azur regions

Source: ****

3.3 The chartered accountant diploma drives workforce growth

In March ****, the Conseil National de l'Ordre des Experts-Comptables presented the report entitled "Profession comptable", the fruit of the work of a commission dedicated to examining the outlook for the sector and its diplomas.

The report highlights the vitality of the accountancy sector, particularly in terms of employment. Over the past ten years, recruitment to accounting firms has grown at an average annual rate of *%.

Although the number of graduates has also risen, it has not kept pace. Over the last five years, the number of holders of the Diplôme de Comptabilité et de Gestion (***) saw the sharpest rise, with an increase of **%.

However, an imbalance persists, particularly at the intermediate level (***), where the shortage of graduates is particularly problematic. Two out of three firms are finding it difficult to recruit.

Various factors contribute to this situation:

A lack of awareness and recognition of the post-baccalauréat sector; A decline in the attractiveness of specialized auditing and public accountingcourses offered by leading business schools.

Source: ****

The Diplôme d'Expertise Comptable

The chartered accountant diploma is an essential prerequisite for practicing the profession. It is relatively uncertain, but over *,*** new chartered accountants join the profession every year.

In ****, *,*** people graduated from ...

3.4 Risks for the public accounting sector

In addition to the recurring themes of artificial intelligence (***), three major issues are emerging for the future of the industry:

The first concern is the reform of the Répertoire National des Certifications Professionnelles (***) - to be organized into blocks of skills. While the DSCG already meets this criterion, the DCG does not yet. It will therefore be necessary to adapt its structure to ensure that the employees concerned do not lose access to funding for their advanced training. The second threat comes from the European directive on corporate sustainability reporting, known as the Corporate Sustainability Reporting Directive (***). From *ᵉʳ January ****, this directive introduces new non-financial reporting requirements for SMEs and large companies. Chartered accountants and statutory auditors will have to strengthen their skills in this area, which implies a revision of DCG and DSCG training programs to better meet these new obligations. Finally, the decision by the Commission Nationale des Commissaires aux Comptes (***), poses a risk to the attractiveness of the latter. This pathway includes a Master's degree in Business Administration offered by the École d'Audit, enabling students to join the CAFCAC program after a three-year internship.

Source: ****

3.5 Main mergers and acquisitions since 2023

Source: ****

Many of the mergers and acquisitions carried out by chartered accountancy firms are aimed at developing their areas of expertise, and in particularinter-professional relations with asset management. Indeed, industry players are seeking to diversify their range of skills to better serve their customers and be less dependent on chartered accountancy. In the wake of the Pacte law, this diversification has emerged as a significant means of growth.

We also note the importance of building a dense territorial network to support companies in all regions.

3.6 Silae and chartered accountants: a relationship under strain

An abrupt price increase

Silae, leader in the French payroll software market, handles *.* million pay slips every month on behalf of accounting firms. On the strength of its dominant position, with a market share of almost **%, in **** the publisher launched its new integrated solution, My Silae, combining payroll and human resources management. However, the announcement of a price increase linked to this new product quickly aroused strong discontent among chartered accountants. The increase - by some estimates as much as ***% - was seen as an attempt to force-sell the additional functionalities.

Chartered accountants' indignation

As early as September, the Conseil national de l'Ordre des experts-comptables (***) and IFEC, one of the profession's main unions, publicly voiced their opposition. criticism focused on several points: limited interoperability, the deletion of certain functionalities, a decline in the quality of legal parameters and a lack of modularity in the offering. the president of the IFEC even alerted the French competition authority to a possible abuse of a dominant position.

Despite insistent requests from its customers to postpone or reduce price increases, Silae maintained its policy. A registered letter dated September **, **** formalized the new price schedule and the termination of the old contracts, with the new prices ...

4.1 Services offered by accounting firms

Firm offerings can be broken down into three types of service:[***]

Public accounting in the strict sense; Consulting ; Auditing.

Within the scope ofpublic accounting, firms offer services in bookkeeping and auditing, presentation of annual accounts, preparation and monitoring of management indicators, and taxation. They also prepare pay slips, social security returns, etc. Finally, on the legal front, they support customers in drawing up legal documents, approving accounts or drafting articles of association.

On the advisory side, the firms offer their expertise in financial transactions or management (***).

Finally, chartered accountants are responsible for statutory audits (***), which are carried out by statutory auditors. Contractual audits, on the other hand, are carried out by chartered accountants at the company's request, with the aim of improving performance.

According to INSEE, in ****, **% of the sector's sales were generated by account maintenance and supervision. Peripheral advisory and legal activities accounted for just **% of sales.

Breakdown of sector sales by service provided France (***), ****, as a percentage Source: ****

However, we are witnessing a desire for inter-professionality on the part of accounting firms to be less dependent on the activities of chartered accountancy and statutory auditing, the scope of which has been reduced by recent reforms. As a result, some ...

4.2 Prices for expertise services

Fees for chartered accountancy services vary not only according to the size of the client, but also according to the region of France in which the service is provided, and the type of service provider.

The accountant's fees must reflect the value of the service rendered, but the amount is not regulated. They are therefore negotiated between the accountant and the client on the basis of :

The professional's reputation The research to be carried out on the file The number of invoices to be processed The difficulty of the case; The costs incurred by the accountant.

According to Compta Facile, the time spent on a file by a chartered accountant is remunerated at a minimum of €*** (***) per hour for review by an associate. Chartered accountants rely on collaborators whose fees are much lower. But these rates can easily vary from one firm to another, and from one region to another. According to ECL Direct, an online chartered accountant generally costs **% or **% less than a local chartered accountant.

Accountant fees by legal status

Chartered accountant fees by type of engagement

In the Paris region, firms are looking for skills and experience in the field, not status or qualifications. Thus, remuneration cannot be ...

4.3 The development of digital tools

Many accounting firms are beginning their digital transformation by offering IT tools to their clients. Digital technology is becoming a major asset for automating processes, and Covid-** is set to accelerate this transition.

According to Cegid, (***), by ****, **% of firms had already launched their digital transformation strategy. However, only *% of firms had completed this transformation.

status of digital transformation strategy in accounting firms France, ****, in percent Source: ****

Numerous digital functionalities are available to clients. The most democratized is bank retrieval (***), since **.*% of firms offer it to all or some of their clients. Collaborative online accounting has also been democratized, but not for all clients: **.*% of firms offer it to some of their clients.

What features have you made available to your customers? France, ****, in percent Source: ****

4.4 Supply at risk of shrinking due to recruitment difficulties

Proportion of difficult recruitments among accounting employees France, ****, in Source: ****

The increasing proportion of difficult hires among accounting employees in France, rising from **% in **** to **% in ****, indicates growing recruitment challenges for this sector. This trend can be attributed to the growing complexity of accounting standards, regulatory changes and increased demand for skilled professionals. Companies will need to adopt innovative strategies, such as in-house training and collaboration with educational institutions, to attract and retain qualified accounting talent.

Recruitment needs and potential pools of young entry-level talent by profession by ****. France, ****, in Source: ****

An analysis of employment prospects in France between now and **** highlights some worrying trends, particularly in certain professions. Accounting is facing negative net job creation, pointing to recruitment difficulties despite the presence of young beginners. For administrative technicians, although net job creation is positive, recruitment needs highlight a potentially insufficient supply on the market. Administrative managers are also showing worrying signs, with positive net job creation, but significant recruitment needs, suggesting a future contraction in supply. In summary, these trends signal a pessimistic climate for recruitment and an anticipated reduction in opportunities in certain professions, requiring a strategic approach to overcoming these challenges.

4.5 Classification of the accounting profession

According to the **** edition of the accounting profession ranking :

Ranking of large companies with sales of over €*** million:

France, ****

Source: ****

it should be noted that the above ranking is limited to regulated activities, i.e. public accounting and auditing. These account for **.*% of business for structures with sales of over €*** million, and **.*% for those with sales of less than €*** million.[***]

Ranking of accounting firms by sales per associate

France, ****/****, in K€ per associate

Source: ****

5.1 Regulations governing the profession of chartered accountant

Ordinance no. **-**** of September **, ****, establishing the Order of Chartered Accountants and regulating the title and profession of Chartered Accountant, defines the legal rules governing the practice of this profession.

This decree has several effects, including

the creation of the Ordre des experts-comptables ; the definition of the profession of chartered accountant and the missions it can perform; the obligation for all chartered accountants to be registered with the Order (***); the definition of a regulatory framework for trainee chartered accountants.

The full text of the decree is available on the Legifrance website.

Decree no. ****-*** of March **, **** on the practice of public accounting amended this ordinance, notably with regard to the conditions for election to the council of the order. Article *** of this decree also sets that the ratio of the number of collaborators (***) to the number of expert accountants who are members of the order is fixed at ** for a structure.[***]

5.2 New regulations

Loi Pacte ****

The Loi Pacte has raised statutory audit thresholds, inducing a loss of business for chartered accountants. Indeed, many companies are no longer obliged to appoint a statutory auditor and will therefore no longer call on their services. Companies exceeding two of the following three thresholds must now appoint a statutory auditor:[***]

A balance sheet of * million euros; Sales of * million euros; More than ** employees.

The PACTE law does, however, present some beneficial developments for chartered accountants, with, in particular, a broadening of their scope of action. They can now:

Carry out environmental (***), financial or digital work, provided this remains an ancillary activity. Amicably collect all company debts and receivables, whatever their nature. Until now, this could only involve social security or tax debts.

Other new features include the introduction of success fees and the implicit mandate. The former make it possible to reward the achievement of a precise objective, whereas before the law, chartered accountants could not be remunerated on the basis of results. This additional remuneration must be included in the original engagement letter or in an addendum. The implicit mandate also frees the chartered accountant from a series of procedures for producing the mandate agreed with the ...

5.3 The collective agreement for chartered accountants

The collective bargaining agreement for chartered accountants defines a number of rules that firms must follow as a minimum. For example, the minimum salaries according to the employee's hierarchical coefficient are as follows:

Source: ****

If the employer fails to comply with these minimum wages, the employee has * years in which to take the matter to the industrial tribunal.

6.1 Segmentation

• Deloitte France
• EY Ernst & Young France
• Mazars Forvis Groupe
• Fiducial France
• ATH Association Technique Armonisation
• France Defi
• Eurus
• Fidunion (PrimeGlobal)
• CERFRANCE
• PwC Audit
• KPMG Expertise et Conseil
• BDO
• Accenture
• Baker Tilly France
• Cabex Corporate Finance
• In Extenso
• ABCE Expertise Comptable
• Ellipce
• Keobiz
• Indy
• Aplitec
• Aplitec
• le gr
• Diagoris
• TGS France
• Orcom Expertise comptable
• Clémentine comptabilité
• Sadec Akelys
• Altex conseil et expertise - Apicap
• RSM
• Emargence
• Cogep
• Amarris
• Supervizor
• Exco Fiduciaire du Sud-Ouest
• CSP (Lebfevre Sarrut Groupe)
• EDITIONS LEFEBVRE SARRUT