Accounting Firm M&A Trends 2026: What January Deals Reveal

January 2026 delivered a revealing snapshot of the accounting firm M&A market. Not because of a single blockbuster transaction, but because of the volume, diversity, and intent behind the deals announced early in the year.

Taken together, they reinforce a reality firm owners and buyers can no longer ignore:

Accounting firm M&A is not only active, but it is becoming more selective, more strategic, and more unforgiving for undifferentiated firms.
 

A Market Defined by Strategy, Not Succession

Reporting from Accounting Today and Going Concern shows deal activity continuing at a steady pace into 2026, with buyers pursuing growth through geographic expansion, service-line enhancement, and talent acquisition.

What stands out is not simply that deals are happening, but why they are happening.

Buyers are increasingly focused on long-term enterprise value, not short-term partner transitions. Cultural alignment, integration readiness, leadership depth, and, most importantly, revenue quality are now central to valuation discussions. Succession alone is no longer a compelling investment thesis.

This shift has meaningful implications for firms at every stage of growth.

A Snapshot of Deal Activity: January 2026

Early-year transactions spanned firm sizes, regions, and strategic objectives, underscoring just how broad the market has become.

Geographic Density Still Matters, But Precision Matters More

Several deals reinforced the continued importance of regional scale and local leadership:

• Aprio expanded into Oregon through mergers with Delap LLP and Hoffman, Stewart & Schmidt
• PKF O’Connor Davies strengthened its Southern New Jersey presence via Bowman & Company
• HoganTaylor entered Louisiana by merging with Hawthorn, Waymouth & Carroll
• Carr, Riggs & Ingram expanded in Eastern North Carolina through Cayton & Associates
• Wright Ford Young deepened its Southern California footprint with Bill Torres & Company

These were not speculative expansions. They were infill moves designed to create immediate density, continuity, and operating leverage.

Capability-Driven Acquisitions Are Gaining Weight

Just as telling were acquisitions driven by specialization and margin expansion:

• SAX expanded its tax and wealth strategy platform through acquisitions of Scheidel, Sullivan & Lanni and Sierra Financial Advisors
• EisnerAmper acquired MLCworks, adding digital growth and marketing advisory capabilities
• Katz, Sapper & Miller acquired Charter Capital Partners’ investment banking business, forming KSM Corporate Finance
• Mauldin & Jenkins merged with The Prinzo Group to enhance government-focused technology modernization services

These transactions reflect a clear buyer preference: specialists command attention and premium valuations, because they typically generate higher fees and stronger margins than generalists.

Private Equity Is No Longer a Side Story

Private equity-backed platforms continued to expand:

• Ascend integrated Gettleson, Witzer & O’Connor and Alexander, Almand & Bangs
• Sorren announced an investment in Nevada-based Casey Neilon
• Nichols Cauley launched a multi-service platform backed by Madison Dearborn Partners

Private equity has permanently altered the accounting firm M&A landscape. While only one PE platform has completed a full exit to date, the industry is now holding a partial hand of cards. What the full deck looks like, and when additional exits occur, will likely become clearer over the next two to four years.

That uncertainty is not a reason to wait. It is a reason to prepare.

What These Deals Signal About Buyer Strategy in 2026

When viewed collectively, three themes emerge.

1. Differentiated revenue matters more than size alone. Firms without distinct service lines or industry focus areas will increasingly struggle to command premium valuations. Buyers are prioritizing repeatable, high-margin capabilities (wealth management, investment banking, digital advisory, government services), not just billable hours.
2. Geography still matters, but only when paired with leadership and integration readiness. Buyers favor firms that can be absorbed quickly without disrupting clients, culture, or momentum.
3. Enterprise value thinking is replacing lifestyle-practice thinking. As George Sandmann of Growth Drive often notes, firms that focus on building strategic capacity rather than simply focusing on top-line revenue growth are the ones attracting the most interest. That mindset shift is now visible in deal structures and pricing.

What This Means for Sellers, Buyers, and Growing Firms

For sellers, the message is clear. Positioning matters. Firms that present themselves solely as “succession solutions” risk being overlooked in a market that increasingly rewards strategic relevance, leadership depth, and future growth potential.

For buyers, diligence has expanded well beyond financials. Integration planning, governance models, and cultural fit now influence valuation as much as historical performance.

For growing firms in the $1–5 million range, this environment presents a choice: grow intentionally toward specialization and scale, or risk being caught between lifestyle practices and institutional platforms with far greater resources.

Don’t Get Lost in a Crowded Market

High-profile transactions and national platforms dominate headlines. But beneath the surface, many well-run small and midsize firms are quietly asking the same questions:

• What is my firm actually worth in today’s market?
• How do buyers view firms like mine?
• What would I need to strengthen before exploring a transaction?

That quieter segment of the market is often the hardest to navigate.

CPA Deal Desk exists to bring clarity and structure to this reality. As a sister company to Hollinden, CPA Deal Desk provides a confidential marketplace where accounting firm owners can explore sale or growth opportunities without being overshadowed by platform-scale deals. It connects qualified buyers and investors with firms that may otherwise lack visibility, and supports readiness for those not yet prepared to transact.

The goal is not to force decisions, but to create optionality.

The Takeaway

Early-2026 deal activity sends a clear signal: accounting firm M&A remains active, competitive, and increasingly strategic. The greatest risk for firm owners today is not a lack of interest, but a lack of preparation in a market that rewards clarity and differentiation.

As consolidation continues, firms that invest early in positioning, specialization, and enterprise value will have more choices and better outcomes when opportunity knocks.