Forensic Accounting Market Size, Share, and Industry Analysis, By Component (Solution and Services), By Deployment Model (On-premise and Cloud), By Service Type (Litigation Support, Fraud Investigation, Dispute Resolution, and Others), By Industry (BFSI, Law Enforcement Agencies, Government and Public Sector, and Others), and Regional Forecast, 2025-2032

The global forensic accounting market is experiencing tremendous growth attributed to the rise in financial fraud, cybercrimes, and corporate scandals, which lead to an increase in services provided, which is driving the market growth. It is found in banking, insurance, government, and healthcare sectors.

• For instance, according to Indian stats, the number of cyber cases registered in India increased by 61% from 2022 to 2023. 

Forensic Accounting Market Driver

Rising Financial Fraud Cases and Cybercrimes to Drive Growth of Forensic Accounting Market

The rise in financial fraud and the increasing occurrence of finance-related cybercrime are also triggers contributing to the growing market. An increasing occurrence of online and offline finance fraud has prompted a demand for forensic accounting services, specifically to detect, investigate, and prevent financial fraud, and to contribute to market growth.

• In 2022, financial losses reported in the U.K, as reported by U.K. Finance (a U.K.-based trade association), increased by 6% as compared to 2021.

The rise in financial fraud and the increase in demand for work-from-home policies provide opportunities for market growth.

Forensic Accounting Market Restraint

Lack of Awareness and Shortage of Skilled Finance Professionals to Restrict Market Growth 

The market has seen an increasing demand and a rise in the need for forensic accounting services driven by growth in finance cybercrime cases, restrictions of regulatory pressures, and corporate government mandates, which is a major factor restricting the market growth. In addition, it needs specialized training solutions in forensic techniques, data analytics, and regulatory compliance, which require skilled individuals. The lack of a skilled workforce inhibits the growth of the market.

• For example, in the U.S., in approximately 2022 to 2024, more than 300,000 bank professionals abandoned their work.

Forensic Accounting Market Opportunity

Technological Advancements to Provide Opportunity for Market Growth

An integration of technologies such as blockchains, AIs, IoTs, and machine learning in forensic accounting, which provides predictive analytics, improved anomaly detection, efficiencies in investigations, improved allegations, and reduced errors in forensic activities. Risk assessments are made, and fraud prevention is also part of the puzzle. There was also a presence of significant players engaged in developing high-tech solutions for the market. 

• For example, in September 2023, Cygna Labs Corp launched their new smart solution for forensic accounting. They announced the launch of a new software solution, Diamond IP Data –Intelligent (DI) Software, which had IPControl version 15.0, and was designed to enhance the DDI management capability.

Key Insights

The report covers the following key insights:

• Micro Macro Economic Indicators
• Drivers, Restraints, Trends, and Opportunities
• Business Strategies Adopted by the Key Players
• Impact of Tariffs on the Global Forensic Accounting Market
• Consolidated SWOT Analysis of Key Players

Segmentation

Analysis by Component

By component, the market is divided into solution and services.

During the forecast period, advanced software solutions dominate the market due to cloud-based technology, advanced solutions, and data analytical tools. In addition, the modern solutions available in the industry typically integrate machine learning and artificial intelligence tools to facilitate data operations, automate data analysis, and improve fraud detection.

• CaseWare IDEA, acquisition of CaseWare Holding, provider of forensic accounting services (distributor based in New Zealand, Australia) - May 2023 Acquisition is a purchase for better solutions for the forensic accounting portfolio.

Analysis by Deployment Model

By deployment model, the market is divided into on-premise and cloud.

On the basis of the deployment model, the cloud model is expected to grow at the highest share due to a rise in uptake of Cloud based cloud solutions, particularly by the BFSI, healthcare, and finance sectors. In addition, it provides features such as a scalable, enhanced corporate solution, easier to operate, able to operate high data operations, which add growth in the market.

 Analysis by Service Type

By service type, the market is divided into litigation support, fraud investigation, dispute resolution, and others.

Among the various service types, fraud investigation service dominates the market due to several factors, including rising cases of cyber fraud, cross-border investigation, and overall cybersecurity practices will help improve the growth of the market. 

• For example, a financial intelligence services company, Valid8 Financial, raised roughly USD 8.5 million dedicated to boosting forensic accounting solutions.

Analysis by Industry

By industry, the market is divided into BFSI, law enforcement agencies, government and public sector, and others.

On the basis of industry, the law enforcement agencies segment is expected to dominate the market, and is also expected to grow at a high market share, due to the increasing complexity, money laundering cases, corruption, and an increasing volume of cyber fraud cases, which will bolster the growth of the market.

Regional Analysis

By region, the market is divided into North America, Europe, Asia Pacific, the Middle East & Africa, and South America.

Due to the increasing volume of finance crime cases, fraud cases, embezzlement and corruption, and misappropriation of money, North America is estimated to grow at the highest share, which in turn raises the demand for such solutions so as to monitor finance operations smoothly and effectively, to promote the market growth.

• According to FBI stats, the cybercrime registered across the U.S. reached 859,532 cases in 2024, which increased approximately 2.4% as compared to the previous year, 2023. 

Asia Pacific, due to an increase in finance crime cases, fraud cases, cybercrime investigations, economic growth, and more adoption of stricter regulatory environments, will drive the market growth at the highest CAGR.

Key Players Covered

The global forensic accounting market is fragmented with the presence of a large number of group and standalone providers. The top 10 players contributed around 30% to 35% shares in the global market.

The report includes the profiles of the following key players:

• Galvanize (U.S.)
• CaseWare IDEA (Canada) 
• Arbutus Software Inc (Canada)
• Fulcrum Management (India)
• Berkeley Research Group LLC (U.S.)
• Cellebrite (Israel)
• Sama Audit Systems & Software Pvt Ltd (India)
• Elliott Davis (U.S.)
• Cygna Labs Corp (U.S.)

Key Industry Developments

• In November 2023, Berkeley Research Group LLC planned to expand the business of forensic accounting solutions. The basic aim of the expansion is to improve the service portfolio of forensic accounting for real estate, BFSI, healthcare, and government institutes. 
• In July 2023, CaseWare IDEA launched a new ESG report solution for the market. This solution helps companies and audit authorities to create sustainability reports at every step of the reporting process. It can support more than 15,000 businesses in Germany.